Take one quick glance at the daily stock market figures and it’s enough to cause beads of sweat down the average person’s forehead. Despite what economists may lead you to believe, money is an emotional topic.
And out of that range of emotions you may feel great about it one day, and downright fearful the next. Let’s take some time to think about our finances in a safe place and confront these common financial fears together.
What money worries are keeping you up at night?
In a world where we need money to put a roof over our heads and feed ourselves, as well as to get on and achieve some of our biggest life goals, it’s understandable that finances are something that we all worry about. No money = no home, no food, no goals.
It’s a terrifying reality that our lives can unravel pretty quickly without financial stability.
Know that you are not alone
It’s no wonder then that a few years ago money was labelled the leading cause of stress for young adults in the UK (and that was before a pandemic and a cost of living crisis happened). We’ve been through a tough few years together, and it doesn’t help that so few of us ever receive a financial education. We were never given the tools or know-how to deal with this. But it doesn’t have to be that way.
Loqbox wants to help you feel assured that money doesn’t have to be scary. We can learn how to master our money. And we can go on to build brighter financial futures.
What if you never had to worry about money again?
To anyone who has experienced sleepless nights over their finances, it’s an irresistible question. And the good news is it’s achievable!
With a little know-how, your financial fears can be managed and most worries relieved. Let’s have a look at 6 common financial worries, and how to conquer them.
6 common money worries:
1. Finances are confusing
This fear is really the classic ‘fear of the unknown’ dressed up in your finances.
When you feel lost about how finances work, it’s easy to feel powerless to do anything about it. This all comes down to a simple piece in the puzzle — not knowing how finances work.
This leads to feeling out of control. And when it comes to something as important as your financial health, naturally it creates a lot of worry. And you are certainly not alone in feeling this way!
Conquer this money worry by:
Knowing that you can work this out.
Loqbox can help you build confidence around your finances and learn how to master your money. There are loads of articles on our blog to get you started, and we have a monthly email you can sign up to if you’d like to receive money saving tips and tricks straight to your inbox.
On top of that, all of our Loqbox members receive our Loqbox Learn email series to help them build financial literacy.
2. Credit rejection
Thinking to the future, do you want to apply for credit like a mortgage, a loan or a credit card? . Are you also worried that you’ll be rejected? Perhaps this delays your plans or holds you back. Are you unsure of what your credit score is, or perhaps you’re afraid to look?
Beat this money worry by:
Facing the facts. Check your credit history now!
It’s free to do so without harming your credit score if you use these links:
- ClearScore (uses Equifax data)*
- Credit Club (uses Experian data)
- Intuit Credit Karma (uses TransUnion data)
*Just to be super transparent if you sign up and follow this link although it’s free for you, Loqbox may get a small referral fee from ClearScore. This helps us to continue to improve our service for our customers and keep Loqbox free.
The sooner you know what you’re dealing with, the sooner you can make a plan.
And if you need to repair your credit history — that’s totally okay and you can absolutely achieve it. Loqbox makes it easy. You can find out more about Loqbox and how it works here.
3. Rent trap
Are you the kind of person who worries about never being able to own your own home? Are you scared of being stuck in the rent trap?
Getting on the property ladder is one of the toughest financial and life goals that there is. Saving a lump sum to put down on deposit, and building your financial health so that you can get a mortgage, isn’t easy.
Reduce this money worry by:
Every journey begins with a single step, no matter the distance. If you haven’t already started a savings habit, start one today. The trick is to save small amounts, and regularly. And over time this will become easier as you build a habit.
You also need to build your credit history to increase your likelihood of being accepted for a mortgage. Handily, Loqbox helps you build your credit history, while you save. What’s not to like? Find out more here.
4. No money
A common financial fear is a hypothetical question: “What if I run out of money? Then I can’t pay my bills. And then I can’t buy food…”
As you can see, this one tends to spiral out of control rapidly as you imagine a string of negative consequences and fall further down the rabbit hole.
Conquer this money worry by:
Building an emergency fund.
A fifth of workers in the UK had no emergency savings before the Covid-19 lockdown. But putting some money aside to cover us financially should something unexpected happen helps us to build resilience.
If something does happen, we have a fallback plan. This buys us some time to find a solution. And gives us confidence in our ability to get through things. Aim to set aside enough to cover at least three months worth of bills.
5. No job
For some people, the idea of losing their job could tip them into a place of financial destitution and emotional upheaval.
Imagine one of your older family members having to unexpectedly to enter a job market that no longer values their skills. They may be forced to find a new role. They may have lost their dream job, and now are not very happy with the options in front of them. They worry about earning less than they currently are, and potentially losing status too. Not a pleasant line of thought for anyone, right?
Defeat this money worry by:
Embracing life long learning.
Keep your skills up to date by reading and studying a little in your spare time. Take online courses that interest you. Research what skills are in high demand.
That way should anything happen with your job, you will still be an attractive candidate to recruiters should you have to job hunt.
6. Economic uncertainty
A big one for the year 2022 and beyond is the fear of economic uncertainty. With high inflation and the cost-of-living crisis to contend with, we’re all feeling it.
Control your money worries by:
It isn’t easy, we know. But the only option we have right now is to move forward and make the most of whatever comes our way. Accept that we don’t know what’s going to happen. Nobody does. And that’s okay.
Unlike the other fears we’ve discussed, this one isn’t about making plans and being proactive. It’s about letting go. This makes change easier when it comes.
You can do it! Financial knowledge is financial power
Remember you’re not alone in feeling this way. If you’d like some companionship and guidance on your journey towards conquering your money worries, and building your financial fitness, join our community. We’re on Facebook, Instagram and TikTok, and would love to see you there.