Pooling resources together has obvious benefits to everyone involved. Projects go better with many great ideas on offer and tasks are done more efficiently and deadlines are met. But aside from people helping each other in work-related tasks, this principle of buying together and pooling resources is also best used to other aspects such as in managing finances.
You may have noticed an increase in the group craze lately with many shops and services offering massive discount and great deals for those who purchase in bulk. Family tickets is an obvious exhibit of how coming in as a group will entitle you to many savings. So why not all of your friends and relatives join together and combat the rising costs of many items with the power of many? Here are ways to do just that:
The obvious savings can be had with bulk buying. There are many websites running this group deals that are “on” only if the minimum number of people grab the deal. So if you are wanting to grab a daily deal for say a stay at a fancy hotel, you can forward the deal to your family and friends in hopes that the deal will be on if they too grab the said offer and the minimum number of buyers is reached.
There are many savings to be had in this kind of buying and referring friends and families may even earn you credits depending on the company’s terms. But you have to be alert and read the fine print before signing up to buy. There are expiry dates and conditions that you must be aware of to make sure that the deal is right for you and one you can actually use.
Although this area can be a bit tricky , many families are gaining the benefits of working together to finance a certain project. This of course assumes that everyone involved sat down and agreed to join in the plan to say finance their parents retirement house which may prove a tough task for just one member to work on but relatively easy if many joins in. Furthermore, having a pool of resources will often get you the best product out there with lower fees in securing investments.
Ask for detailed advice from a financial expert and encourage your family to the idea so opportunities to profit from a certain investment will not be lost. Do not forget to discuss how to opt out should relationships change.
Ever wondered how you can get a higher interest rate on your savings? Then ask friends and relatives to put together all your money so you can finally get that bank product you are after which offers better rates.
There is no doubt that doing the savings individually will never get you a good return as banks often set amount brackets. But the sum of many people’s savings will entitle the total to be entered on that higher interest account type. Just make sure again that agreements and grounds for exit are well discussed and agreed by everyone. And written down and notarized if possible to avoid any upsets.
If you are keen on investing in the real estate market but couldn’t quite save enough for the initial deposit, then consider group buying. Many people delay purchasing their first property due to lack of funds and end up regretting missing out on the profits gained from appreciation.
Ask close relations if they have the same dreams of investing in the property market and consider joining forces to get the initial deposit addressed easily. Of course this assumes a commitment on all parties involved as monthly mortgages need to be paid by everyone for this project to be a success. But keep the long term benefits in mind. Sharing the profits later on is better than missing out entirely.
Jessy is a frugal blogger for Mobile Phone Finder, the free money-saving tool that lets you find low-cost mobile phones and save on your next gadget purchase!
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