It's Never Too Early To Start Saving

Sunday, 12th July 2015

 Fabio Zuccaro


FCM Bank’s Customer Relationship Manager Fabio Zuccaro explains why we should shift our spending culture to a savings one. 


We live in a spending culture. While older generations may have diligently saved for a rainy day, today’s young people tend to spend most of their income, and this often means they are living from pay cheque to pay cheque, with very little left over at the end of the month.


“Temptation is everywhere and it’s easy to splurge,” says FCM Bank’s Customer Relationship Manager Fabio Zuccaro. “Most young people don’t believe they need to save, but I strongly believe that it’s never too early to start.”


Fabio believes that spending culture usually sets in as early as age 12. “This is normally when a child gets his or her first mobile, and thus their first expenses start rolling in. From then it develops, and young people get into a spending spiral that usually continues throughout their education (clothing and socialising) and even once they have started working. The mentality is often to work to cover your expenses, rather than to put some money aside so that you can slowly achieve your goals.”


Fabio stresses that a savings mentality will really assist young people as they get older. “We all have dreams, and having money set aside will help us to realise them,” he says. “Eventually we all want to be able to buy a car or a home, or to take a dream holiday. By saving for those dreams a little at a time from an early age, you will be able to achieve them, and won’t be wholly reliant on credit cards and loans.”


Of course, saving money does have its challenges and temptation can often get in the way of that.  Online stores have made it much easier to spend money with a few clicks. No matter how much you are earning, Fabio believes you should be putting a little aside. “Work out a percentage that you can afford and stick to it,” he suggests. “If you have €5 in your pocket, then put 50c of it aside; it’s not important how much you save at that stage but that you get into the habit of it. Over time, when income increases, the percentage you can afford to save will go up too, and so will your savings balance.”


Fabio also suggests placing your savings in a fixed term deposit or bonus savings account. “At FCM Bank our products can help you to grow your savings over a period of time. Opening an account is easy,” he says. “We will help you to identify your savings needs and then guide you towards the best solution. It will leave you safe in the knowledge that you are putting money aside for a rainy day, or even saving for the things you dream of having in the future.”