Saving for your deposit

Easy ways to give your savings pot a boost

Unless you're lucky enough to win the lottery, there's no getting away from the fact that you're going to have to save hard for a deposit. It's not easy, it takes time and rock solid commitment, but it's worth it when the journey ends with your first home. What's more, we've got plenty of savings ideas to help you get to where you want to be.

Your big savings plan

First things first, you need a savings plan of action to make happen…

  1. Set a goal

    Whether you're planning to buy a flat or house, on your own or with a partner, family or friends, decide how much deposit you need to save.

  2. Choose the right savings account

    A high interest savings account could help you save faster, so take time to compare the different the types, rates and access.

  3. Consider your budget

    Take a look at your income and outgoings and decide how much you can afford to save every month.

  4. Boost your savings

    Think about ways you can increase your income or reduce your outgoings to help you save more and save faster. We've come up with a list of ideas below to get you started.

Ideas to cut your costs and boost your savings

Get credit card savvy
One of the golden rules of saving is to stop using your credit card to borrow money. You could also make a potential saving by moving any existing balance to a 0% or low-rate balance transfer offer. As long as you don't spend on your new card and pay off the maximum you can afford each month, you should be able to clear your balance sooner.

Be switched on about gas and electricity
You could be better off if you switch your existing deal. There are hundreds of different tariffs and deals out there and switching is easy, painless and can even earn you cashback.

Unjoin the club
If you're not regularly going to the gym, renting movies or making the most of your magazine subscription, cancel that membership. It's costing you money and there are plenty of free or cheaper alternatives - like jogging in the park for example. However, there may be fees associated with cancelling your memberships, so you'll need to take this into consideration before making a decision.

Don't just renew, shop anew
Whether it's home insurance, car insurance or a mobile phone contract, don't automatically accept renewal quotes. You rarely get an incentive to stay, so use comparison sites to shop around for a better, cheaper deal.

Cash for clutter
Open up your cupboards, wardrobes and drawers and take a good look inside. If there's anything you haven't used or worn in over a year, why not sell it and make some money? You could try a car boot sale, advertising in the local classifieds or an online auction.

Fly back to the nest
Save on your monthly rent by temporarily moving back home to your parents or even flat share with a friend. It may feel strange not being totally independent for a time, but spending less money on bills now means more savings in the long run.

Put your best foot forward
Rather than driving or taking the bus everywhere, why not start walking or cycling instead? As well as being free, it's less stressful and great exercise too. You can always build it up slowly by getting off the local bus, train or tram a stop earlier and walking the extra mile.

Pack-ups and home brews
It's so tempting to grab a coffee on the way to work and pop out to the sandwich shop at lunchtime. But those £££s here and there soon add up (a £2.15 latte every day would cost £483.75 over a working year). Try taking in a homemade lunch and a flask of tea or coffee and you'll see that those savings are even tastier.

Government Schemes
Open an HSBC Help to Buy: ISA and the UK Government will reward you with an additional 25% of the amount you save, up to a maximum of £3,000. Save up to £200 per calendar month. Interest is tax-free. You can save an additional £1,000 in the first month to help get you started.
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