If we need a loan then we have to pay back more than we borrow. A loan of £10,000 over five years would typically cost us how much extra money?

We need money to support ourselves, to save, to spend, and avoid getting into debt. It is important that we are able to manage our money. We must know how much we have coming in, how much going out, and what is left over for us to spend or save. This is called “budgeting”.