One way in which people may be able to build a
credit rating is to ensure their expenditure does not exceed their income and that they are able to keep on top of all relevant bill requirements.
Despite the fact that the rising cost of living could have restricted many consumers' spending power, some individuals appear to be taking a frugal approach.
The latest Spending Power Report from Lloyds TSB found an increasing number of Brits still have some money left over after they have covered their essential outgoings and in December, 34 per cent of the population was estimated as being in this position.
However, 40 per cent of respondents to the survey claimed their financial position is still restrictive and eight per cent say they are falling short every month.
This would appear to suggest many have nothing of their monthly salary left by the time they receive their next pay cheque, which has been indicated in the findings of other recent studies - such as a survey carried out by Bright Grey.
Regardless of these difficulties, some people might be setting themselves a strict budget plan in order to maintain control of their finances.
Just over half (52 per cent) of respondents to the previous Spending Power Report conducted in November said they were able to save some money for the future.
In December, this figure increased to 59 per cent, with older Brits most likely to be preparing for retirement, whereas saving for a particular item is more common among their younger counterparts.
Reducing expenditure on monthly essentials such as gas and electricity bills can help individuals keep on top of their outgoings and 24 per cent of those surveyed said this was one of their goals.
Another financially healthy target would be ensuring any outstanding debts are paid off on a regular basis, which 30 per cent said they are now able to do.
Posted by Gemma Walker
