With this year being like no other, the urge to save money where we can is very high. And it appears that we are a nation of bargain hunters. According to new research from Honey by PayPal, 70% of us spend up to five hours a week searching for discount codes. And the pandemic has only led more of us to do it.
So let’s take a look at why us Brits love to save ourselves some pennies – and what we can do with the savings.
Do Brits really love a discount code?
With a lot of shopping moving online, discount codes can open up a wealth of savings. And it appears that for a lot of us, saving a bit of money on our shopping is one of life’s great pleasures.
In fact, the survey of 2,000 respondents found that 37% found happiness in bagging themselves a bargain. It ranked higher than celebrating a birthday, a favourite sports team winning a match and getting a promotion at work.
The coronavirus pandemic has understandably made a lot of us more conscious of what we spend. Tough times have made many of us more careful with our money. In fact, since the pandemic hit in March, 38% of Brits have spent more time online searching for discount codes.
And it appears that we are a competitive bunch. Around a quarter of adults admitted that they like to compete against friends and family to see who can find the best deals.
How can I use a discount code sensibly?
It’s all well and good finding yourself a discount code, but that doesn’t mean you need to spend money you don’t have.
In order to keep your personal finances healthy, try to make sure you are only buying what you can afford. While it can be tempting to purchase something just because there is a discount, the saving does not make up for the money you are spending unnecessarily.
On that note, try to avoid building up credit card debt. Credit cards do sometimes have their place when it comes to online shopping. After all, items bought on a credit card are then protected under the Consumer Credit Act. But credit card debt can be expensive. So try to pay off your balance in full as soon as possible in order to avoid costly interest charges.
Finally, it may seem simple, but remember to input the discount code at checkout. Not all retailers automatically apply discount codes if you click through a link. In fact, Honey’s study found that 39% of Brits want to be offered the codes at checkout, rather than having to search for them themselves.
So if you have found yourself a discount code, make sure to enter it into the relevant box at checkout and double check that it has been applied to your basket. If you have invested time in finding a way to save money, make sure you get the discount you deserve.
What can I do with the savings?
If you are a bargain hunter extraordinaire, then the savings you’re making could be helping your bank balance.
But while it may be tempting to see this as extra disposable income, the healthiest thing for your finances is to squirrel any savings away for a rainy day.
Starting a savings habit can make a huge difference to your finances, even if it’s just a little each month. By putting money into something like an easy access savings account, you can build up an emergency fund. It means you may not have to reach for the credit card if the boiler breaks or an unexpected bill comes through.
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