Investigative Blogging: money and Other People

I know lots of interesting people (so lucky), and most of these people have and spend money in a completely different way to me. In an effort to keep me and other peeps enthused, I've started interviewing people about their attitudes towards money and how it is that they are able to keep doing the awesome things that they do!

This is an interview with my lovely Natalie, who I've known since we were both tiny school girls with too-big bags. Nat returned to University to study two years ago, after living an exotic big city life in London town for about seven years. I interviewed her at Hashigozake over fine and tasty beer. (Much later, I tried to transcribe the whole thing, which turned out to be a lot harder than I thought it would be. So, any weirdness in this is totally due to my transcription inexperience and not to do with Nat. Nat is awesome.)

 

I’ve had savings accounts on and off since I was a kid, but until relatively recently I’ve been pretty crap at keeping on top of it. How about you - do you have a savings account? When did you first start saving?
I do have a savings account, I didn't have one as a child but when I left home I started one up. I generally save towards things, rather than generally saving. When I first got one I was saving to go to the UK and when I was in the UK I was saving to go travelling, and when I came back to New Zealand I was saving for the purpose of going to University. That's how I use it at the moment [paying for Uni]; I have a direct debit set up between my current account and savings account that goes through every month. That's the thing with savings accounts, I always find it easier if I'm saving towards something.

At the moment I have a budget because I'm a student and I don't have a lot of money. I direct debit $300 each month, and then anything I have left over at the end of the month I put in the savings account as well. I think it's a really good idea to have a direct debit with a minimum amount that you can save and then the months that you have money left over put that into the account as well.

I've only ever been a Saver For Things, I haven't had the luxury of just putting money away for a rainy day or for my "investment plans".

Do you have a credit card at the moment?
At the moment, no.

But you've had a credit card in the past?
I sure have.

How did you use it (i.e. as oppose to a debit card, hardly at all and pay back immediately, or, like me, max it out and spend three years paying it back?)
I never used it like a credit card, I pretty much just put stuff on it when I have to, like if I buy something off the internet. Even in the UK it was the same, when I had the most sustained living I've ever had, I paid the card off every month. I used it like a Diners Card.

The thing with credit cards is that I never felt like it was my money, and I think the trap is that people think it is their money. I've always been really careful, the bank must hate me because I pay it off every month.

You’re in your second year of university study, after working full time since you’d left high school. How are you finding the change in circumstances - any suggestions for other people returning to study?

Find a boyfriend who can support you (laughs). I'm really lucky in that I do have a boyfriend that supports me. I give him money every month for stuff, but it really doesn't cover where we live and all the expenses that we have, so it must be heaps harder for him. I've gone from having quite a good wage to having a really minimal one. So although I live in the same place, my day to day living has changed quite dramatically. I get out a set amount per week from my account, say $50, and that pays for anything I want during the week; things like drinks and coffees and yoga. You just have to stick to that, and if you have no money left on Friday, well that's it. I don't like Mark [Nat's boyf] paying for stuff I need.

How would you characterise your attitude towards money - would you describe yourself as a saver or a spender? And on the day to day - are you a hard core budgeter, or do you just take the money as it comes?
I kind of meet in the middle somewhere there. I'm not a hard core spender, although I have been in the past, andI try and always live within my means. Sometimes you end up spending a bit more than your weekly allowed budget, sometimes you end up taking money out of your savings account, but I think it's important not to rely on things like credit cards and loans, you don't want to get into that kind of trap. I'm kind of in the middle - I'm a spender sometimes and a saver at others, but when I'm really determined and have a goal I can put other stuff aside. I'm very sensible with my money. I don't make rash decisions, I really have to think about big purchases. But at the same time, I don't want to deny myself things.

I like my little things, there are some things I would still spend money on, but then there are some things that you have leave behind. You think it's going to be the end of the world, but it's not, you get used to it and you start realising "what the hell did I spend all my money on?"

Finally, do you have anything that you want to add in terms of HOTT money tips?
Don't get a credit card! Use a Visa Debit.

Nat my love, thanks for taking the time to drink beer and chat with me about money. Good luck with everything at Uni (not that you need it, swotty clever person xx).