Money saving tips: Woman shares ‘best thing’ that helped her clear £4,000 debt this year | Personal Finance | Finance

Britons are using banking app tools as a way to eliminate debt and sort their finances out foe the year ahead, new data suggests. One woman managed to pay off £4,000 debt by becoming organised and using her in app banking tool to help become more organised.

New data from banking app Monzo has found that customers are using the in-app money saving pots feature, as a way of digitally “cash-stuffing”, with 4.2 million pots being created in the past year alone by 1.3million users.

Hannah Carney started to cash stuff digitally using pots. She also uses the Salary Sorter to organise her income at the beginning of each month.

This has helped her to have a better overview of her finances and start making amends – including clearing around £4,000 debt.

Cash-stuffing is a method where people set aside money in envelopes or virtual Pots to save for particular occasions or goals – to help them manage their money.

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Such is the popularity of the savvy saving system, the hashtag #cashstuffing has clocked up 670 million views on TikTok and, in the 12 months leading up to this September, online searches for ‘cash stuffing’ shot up by 503 percent compared with the previous year.

Ms Carney said: “Being able to cash stuff digitally is a brilliant way of getting your head round your finances and how best to delegate your money for that month – whether it be having pots for rent, food, bills or fun.”

Instead of opting for paper envelopes, Britons can check if their bank offers similar tools or features that allows customers to save into different pots.

To manage her money better, Ms Carney started storing cash in envelopes, which proved successful for a short while.


But with all the physical cash in her possession, Ms Carney was worried about it being stolen.

She found it challenging to go down to her local branch to deposit this into her account, and therefore started missing bills as a result.

Monzo allowed Hannah to start cash stuffing digitally using Pots and uses the Salary Sorter to organise her income at the beginning of each month, helping her to have a better overview of her finances and start making amends.

She wants to also go to Japan next year and started saving for this goal a month or two ago and already has a couple hundred pounds in there.

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She said: “Cash stuffing has always been a thing which has helped me save – having Pots and using them to keep you organised and allows you to segregate the money.

“When it’s stuffed away you can see what you can actually spend.”

Ms Carney encouraged people to use specific categories for their spending so they can see where they are overspending.

She added: “Like if you’re eating out and it’s eating into your finances.

“Appreciating when you are saving and reflecting when you’re not – I love the notifications that tell me how much I’ve spent compared to previous months.”

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