RACHEL RICKARD STRAUS: I’ve learned some money lessons

Pinch me. This is my first issue as editor of Britain’s best, boldest and most-loved wealth and personal finance section. What a privilege – and a dream – to be at the helm. 

With deputy editor Toby Walne, group editor Jeff Prestridge, and our team of brilliant writers, I look forward to building on the section’s rich tradition. We’ll be fighting your corner, helping you to grow your wealth and to eke out every last drop of value from your hard-earned cash. 

As I look forward, I’ve also found myself reflecting on the year gone by and the lessons it taught me that I’m bringing into 2023. So I thought I’d share with you my top money lessons of 2022 – the serious… and the not so serious. I’d love to hear yours too. Please email me at rachel.rickard@mailonsunday.co.uk. 

Delay Repay is a game-changer 

Late last year, I was booked on a train that was running close to an hour behind schedule. But rather than getting frustrated, I found myself hoping I’d be delayed by another few minutes. That is because last year I started using Delay Repay, a system by which the longer you are delayed the more of the ticket price you are reimbursed. 

In the end my train was delayed by an hour, so I received the full cost of my ticket back. The payment landed in my bank account just a few days later. 

Any delay from 15 minutes upwards would have earned me some compensation. Of course, I was lucky that I wasn’t in a great rush – and I would not have been so sanguine if I’d suffered weeks of train delays and cancellations as so many commuters have. 

But for me, it took the stress out of the situation. I have Jeff Prestridge to thank for prompting me to use Delay Repay. He has been sharing his horror train journeys in these pages. 

Good businesses are not always good investments 

Few would dispute that Amazon, Apple, Microsoft and Tesla are great businesses. But that didn’t make them great investments last year. 

Their share prices, which had been soaring in recent years, plunged by 50, 27, 29 and 65 per cent respectively. 

It was a good reminder that the quality of a business is not solely what makes it a good investment – it’s how much you pay for it as well.

Think twice before buying imaginary things 

The value of cryptocurrencies had been rising so precipitously that by the beginning of 2022, I started to wonder whether I had been too quick to dismiss them. But then they tanked. 

Bitcoin started the year worth £35,275 – it finished at £13,662. Some cryptocurrencies ended the year all but worthless. 

I’m not saying that this is the end. But last year was a good reminder that it is worth being very wary of buying things without inherent value or use. 

Take some of the forecasts with a pinch of salt 

About this time last year the Bank of England was predicting that inflation would peak at about 7 per cent in April 2022 and then start to fall. Instead, inflation ended the year in double digits and has yet to start falling dramatically. 

I’ve also been looking back at the predictions fund managers made in January last year about the economy for the year ahead. Most are ludicrously wrong. 

I don’t think we should ditch forecasting and predictions. In many cases they are invaluable, and last year was a particularly hard year to foresee. 

However, 2022 offered a good reminder to take predictions with a pinch of salt. 

You can still buy a round for under a tenner 

Just before Christmas I met friends for a drink in Wetherspoons. I hadn’t been to one in ages. I bought a round – three glasses of Merlot, a pint and half of beer – and it came to £8.99. 

I thought there must have been some mistake. I knew the pub chain’s prices were low – but I didn’t know they were that low. (Yes, I know I’m a bit late to the party, but why didn’t someone tell me?) 

I’m looking forward to trying out its veggie burger deal in 2023.