Debts vs Savings

Typically, it’s good to use some of your earnings to repay any debts you might have as well as trying to add to your savings each month.
Most lenders charge interest on any money you borrow from them. This means you repay a larger amount than you borrowed and the longer you take to pay the money back, the higher the amount you’ll pay in interest. So in most cases, it’s best to prioritise paying down debts before saving – particularly short term, higher cost borrowing such as credit cards and your overdraft.
Savings are great for avoiding the stress of last-minute expenses and becoming a bit more financially comfortable. If possible, try and set some cash aside wherever you can. Pick an amount you’re comfortable with, and adjust it according to your budget.