With this moneysaving mantra in mind, I was interested to hear that the Financial Services Compensation Scheme (FSCS) protects up to £85,000 of your money (savings), should anything
happen to your bank, building society or credit union. This protection is completely free and automatic. If your bank, building society or credit union were to fail (and is one of the 900+ financial institutions authorised in the UK), then you will automatically get your money back within seven days. And you don’t actually have to do anything to get it back. Excellent news, especially with recent catastrophic events in the banking world.
It's great to know your savings are protected, but getting into the savings habit can be so hard, can't it? We are already trying to engender the savings beliefs and habits in Lara and Sophia, and they love the novelty of saving up their pocket money each week, and paying into their building society accounts. Saving for their future is vital, especially with rising housing costs, and hefty university fees, let alone if they want to travel or embark on a creative career. I dread to think what would happen if these hard won savings were damaged by bank failures. Luckily the FSCS protection will prevent this.
“It was a strange but wonderful thing being able to earn money at that age ... I’m from a working class family ... so I was very aware of kind of the worth of money and how to really think about it in a practical sense because we didn’t have it to be frivolous with, it was kind of always something that
was quite well thought out”
Practical Fearne gave her mum some housekeeping from this age, but also saved a lot of it, and says:
"I’m so grateful that I wasn’t but I didn’t just go out and go to the designer shops straight away and buy loads of new clothes, because I never had before so that wasn’t something that felt natural to me to start shopping on Bond Street or whatever. I just didn’t have that in me and I still don’t have it in me – I’m still quite a thrifty person in that way, but I think that’s because of years before my sort of growing up years, I didn’t really have those opportunities.”
In fact she says she still can't get her head round the idea of spending £300 on a jumper; although her husband has learnt not to let her thriftiness extend to attacking DIY jobs at home, as they usually end up costing more than they would have done had a professional been employed in the first place! A lesson learned there. Although she did shell out on a beautiful rose-coloured Fiat Punto called Ethel when she was 17, and a first flat aged 19.
I really like Fearne's healthy attitude to money and spending, and echo her belief that it's always good to have a stash in the bank for those unexpected costs or emergencies. An atitude she wants to pass on to her children:
“It’s really nice to know as well that now I am a mum and I’ve got a kid and stepkids that I can put money away in an FSCS protected account and have that safety and security there – whether it’s me saving for my first flat back in the day or me now just creating those stable foundations for a family – it’s protected.”
Here's Fearne to tell you more about her money-saving beliefs:
You can find out more about having your savings protected on the FSCS website.