They can be contacted either by phone or internet.The other major outgoing most people overlook is utility bills. But deregulation has made this area very competitive for those who shop around. Eight out of 10 UK phone users are still with BT, even though there are significant savings to be made from using a combination of electricity, gas and phone suppliers. Oftel, the phone watchdog, and its fuel counterpart, energywatch, run online price comparisons.A major source of leaking money is the very area you might expect to be the most watertight: your bank balance Check your bank statements each month.

Mystery charges can and do appear on them: if you do not understand what they are for, get your bank to explain. They do make mistakes, and have been known to get tougher about charges at times like this when profits are harder to come by.At all costs avoid slipping into the red without notifying your bank first. Interest is charged on unauthorised overdrafts at up a much higher rate – up to 35 per cent effective annual rate (EAR) – and you also incur initial and ongoing charges. First Direct bank charges £30 when you go over your limit, plus a further £15 on any day further funds leave your account. The bank may refuse to pay standing orders and direct debits, which will then be returned, incurring further charges But do pay as many bills as you can through direct debits. They save suppliers money and they will usually reward DD customers with a discount.For saving, syphon money out of your bank account on a regular drip, preferably on an automatic basis. Regular monthly schemes can be set up for most types of savings or investments.

Once they are arranged, you can relax in the knowledge that what is left in your account is there for you to spend without guilt.You should build up a financial slush fund equal to about three months' pay, to draw on for larger expenses such as holidays, car repairs or new furniture. Look for an instant access savings account paying a good rate of interest (see our Best Savings Rates on page 4).No-notice internet accounts offer instant access and market-leading rates, and in most cases accept accounts with as little as £1. To ensure you cannot dip into your money casually you could choose an account requiring 30, 60 or 90 days, which pay successively higher rates of interest. Avoid the 180-day accounts, because half a year is too long for most.Once you have your emergency fund in place, take out a cash Isa (individual savings account), in which you can stash up to £3,000 each year and receive interest tax-free. Jamie Richards wanted to become a footballer.