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17 essential articles that will help you save lots of money in Spain

Life is getting more expensive in Spain and recent figures show that inflation is on the rise again. Here's a roundup of The Local's best cost-cutting articles, from transport to grocery shopping, electricity, banking and mortgages.

17 essential articles that will help you save lots of money in Spain
Photo: Markus Spikse/Unsplash

Everything from food shopping to household bills, petrol and services has gone up in price over the past year due to rising inflation.

Spanish inflation edged up again in February 2023 for the second straight month, partly as a result of higher energy and food prices, official data showed Tuesday February 28th. 

Costs keep increasing while salaries mostly stay the same, so how can you save money on everyday items and what extra aid is available? Here are all our money-saving aticles (click on the headlines if you want to find out more). 

Nine ways to save money on grocery shopping in Spain
Grocery shopping is getting more and more expensive in Spain with the rising inflation. from the cheapest ‘supermercados‘ in Spain’s different regions to the apps that’ll help you cut costs. Find out some of our best tips here. 

How to get Spain’s €200 cost-of-living subsidy
At the end of last year, the Spanish government announced a new €200 handout as part of a package of measures to help alleviate the rising cost of living. The time to apply is coming up in the next few weeks, so find out who is eligible and how to get it.

At what time of the day is electricity cheapest in Spain? 
With bills still surging in Spain, knowing the most cost-effective time of day to use electrical appliances can help you make savings. Much of the answer to making savings on your electricity bill comes down to understanding Spain’s energy tariffs and taking advantage of the cheapest times of the day. The volatility of energy markets means that there are huge differences in the price of electricity depending on the time of day that you use it. The price of electricity on the market can surge or drop by as much as 30 percent in a single day, so knowing the most cost-effective time to use it can help you make big savings.  

The cheapest rates Spain’s electricity companies don’t want you to know about

Finding a cheaper tariff is one of the best ways to counteract skyrocketing electricity bills, but a leading consumer watchdog has warned Spain’s electricity providers are not always open to telling customers about the best deal they can get. You can also read these 11 tips to save on your Spain electricity bill.

EXPLAINED: How new mothers in Spain can get an extra €100 a month
The Spanish government is giving a new benefit for mothers of children aged 0 to 3 which adds up to €1,200 a year. Here’s everything you need to know about it, from who is eligible to how to apply.

Why banks in Spain are obliged by law to offer a low-cost basic account

Even just keeping your money somewhere can be expensive these days with lots of extras and hidden fees. Low-cost basic accounts may not be widely advertised in Spain, but they are available and your bank must, by law, offer you one if you want.

The cheapest most in-demand areas in Spain to buy a house
If you’re considering making the move and buying property in Spain, but don’t fancy purchasing in a rural village in the middle of nowhere, you should know where the cheapest, most in-demand parts of the country are.

UPDATE: How Spain’s new energy measures can help you
Spain’s government announced it will extend benefits to help those struggling to pay rising energy bills until December 2023, from 40 percent discounts on electricity to €375 for heating costs. They have also released further details on exactly who can benefit and how. 

What are Spain’s new regional tax breaks?
Seven Spanish regions announced tax breaks which act as an extra benefit to the income tax reductions announced by the national government last year. Find out what they are and how they could help you save.

When to turn on your heating in Spain this year and other cost-cutting tips 

Spring may be on the horizon, but temperatures have plummeted further at the end of February with Barcelona even experiencing snow. With energy bills rising, here are our top tips to save on heating costs in Spain, whether you use gas or electricity.

Rising inflation in Spain: Six cost-cutting ways to fight it 
With everything from food to electricity becoming more expensive, people in Spain spent on average €1,100 more on daily costs in 2022 than the previous year. Here are some top tips for tightening your belt as inflation bites.

Inflation hack: what time should I use the washing machine in Spain?
With utility bills skyrocketing against the backdrop of rising inflation, many Spaniards are sacrificing on home comforts from air-conditioning to washing machines. But at what time of day is it cheapest to use the washing machine in Spain?

Ten ways to save money on your trip to Spain this summer
Heading to Spain this summer but worried about breaking the bank? Here are ten detailed tips that will help you cut costs despite rising inflation and it being the peak holiday season, from buying tickets in advance to looking for alternative accommodation. 

How to cut travel costs by carpooling in Spain: Eight trustworthy options
Carpooling or car-sharing apps can be a great option for those in Spain who don’t own a car or can’t afford expensive travel. Here are eight of the best companies to choose from and how each one works.

The home improvements you can get a 60 percent tax deduction for
As part of the Spanish government’s ‘Recovery, Transformation and Resilience Plan’, it’s possible to get a tax deduction of up to 60 percent for energy-efficient renovations to your home. Here’s how the plan works and some home improvement ideas that could help you benefit.

How to change from a variable to a fixed mortgage in Spain

Variable mortgages have risen by an average of €300 a month in Spain, meaning that fixed hipotecas now have considerably better interest rates. Fortunately, there are ways to change over to a fixed mortgage, which will help you cut back on the current excessive costs of variable mortgages.

How to get free ticket trains in Spain

Spain’s petrol subsidy has unfortunately ended, so it might be better to consider the ongoing free train tickets that the Spanish government is subsidising. There are also free buses available in 2023, here’s the list

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BANKING

How would the BBVA takeover of Sabadell affect customers in Spain?

Spain's second-largest bank BBVA is attempting a takeover of rival bank Sabadell. What would it mean for both banks' customer accounts, cards, mortgages and loans?

How would the BBVA takeover of Sabadell affect customers in Spain?

Following news that Spain’s second-largest bank BBVA is attempting a hostile takeover bid for smaller rival Banco Sabadell, many customers may be wondering what impact this could have on them if the takeover goes through.

The Spanish government has since vowed to block the move, but BBVA’s new bid came three days after Sabadell’s board of directors rejected a merger proposal, saying it was “not in the best interest” of the bank.

READ ALSO: Spain’s Banco Sabadell rejects BBVA merger offer

The takeover proposal values Sabadell, Spain’s fourth-largest banking group in terms of capitalisation, at nearly €11.5 billion ($12.3 billion).

Though the situation is still developing and Economy Minister Carlos Cuerpo has warned the government “will have the last word when it comes to authorising the operation”, there are a few things that would likely happen in the case that this takeover goes through.

Here’s how it could potentially affect millions of BBVA and Sabadell customers.

What if I have a mortgage with one of the banks?

In case of a takeover or merger, mortgages or loans would not be affected. This is because mortgages are essentially contracts with defined terms and conditions, so they could not be modified unilaterally by a bank after a takeover.

The requirements for interest rates on loans would also stay the same. However, the conditions of linked products (insurance premiums, for example) could theoretically be changed if they aren’t outlined in the contract.

What will happen to my bank card and account number?

After mergers and takeovers, as a general rule, the resulting banks tend to standardise the terms and conditions of their products, as well as their fees. This means that your card or account could gain (or lose) some fees, such as those for issuing a new card or maintaining the account.

This is not usually an immediate process, but be aware that banks can change the terms and conditions of accounts and cards following a merger or takeover.

It is likely your conditions will initially remain the same without much change, but the new/resulting bank may change the conditions later down the road.

However, banks are always obliged to inform customers months in advance of any changes so you can decide whether to accept the conditions or to change bank.

In practice, it is most likely that customers of the absorbed bank, in this case Sabadell, will see their IBAN code changed, although this is a procedure that shouldn’t really change much as it is the bank itself that does it. You’d just need to update your payment details where necessary.

What about investment funds and pensions?

In the case of investment products such as pensions, customers are likely to be forced to transfer their funds into the products marketed by the new bank, as not all banks market the same investment funds and pension plans on offer.

As such, doing this may oblige customers to assume the fees of the other bank.

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