With millions of Americans experiencing a loss of income due to the COVID-19 pandemic, more people than ever before are looking for ways to lower their cost of living.
A recent online survey found that the majority of respondents are concerned about the economic impact of the coronavirus, with 42% saying their biggest financial concern is paying their ongoing expenses.
Going over budget doesn’t necessarily mean sacrificing more than the essentials. In fact, TV, internet, and cell phone bills can be easily lowered by bargaining.
But for many people, this can be terrifying. The good news is that negotiation is an easy skill to learn. And the more you practice, the better.
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Smart Spending
Prioritize your most important expenses first, whether it’s your mortgage, rent, groceries, or tuition.
Double-check that you haven’t paid more than your credit card or mortgage minimum. Choose the lowest possible amount so you can continue paying without straining your wallet. For loans, you may be able to reach an agreement with the lender to extend or reduce the interest rate. Make a plan for your spending if electricity is a problem.
For example, a Dallas electricity rates comparison is a good choice in order for you to go through your historical energy usage to find a plan that is suitable for you. Sit down and study where your monthly funds are being spent and spot unnecessary spending.
You’re probably paying a series of recurring expenses that you haven’t used in months (magazines, gym memberships, or many mobile apps). Alternatively, each family member may pay for services available to the group.
Additionally, if most of your money goes to personal savings, you might want to consider adjusting your expectations and reducing that amount for the time being. Think twice before completely shutting down public services that your family uses on a regular basis. Before you cancel anything, remember that you can legally lower your bill without sacrificing something really important.
Pay Less for Utilities – How To Haggle For Better Deals On Utilities
Did you know that people always pay too much for utilities? Some bills, like water bills, are non-negotiable (although they can be reduced if you use less). However, some may have a little more leeway.
Some bills are negotiable. Services such as cell phones, internet, and cable can be cheaper. The competition in these industries is so fierce that other providers may offer similar services at a lower cost. Also, proprietary providers may try to attract new subscribers with very cheap offers.
Significant discounts and savings can also be negotiated on auto insurance. It’s also a highly competitive industry, so other insurers always tend to offer surprisingly cheap deals. Whether you are satisfied with your current insurer or not, it is worthwhile to look for better terms.
Market discounts are a good starting point for negotiating lower utility rates, but few consumers have the experience and success of such negotiations. The best way to find the best deals is to have an expert on your side.
Right Person
Whether or not you can negotiate a lower monthly fee often depends a lot on who you’re talking to. Relying on someone with more pricing authority will get you farther and faster.
If you call to negotiate an expense, your first contact will most likely be someone without authorization to deduct your bill.
Politely ask to speak to a manager who may have more authority over price negotiations, or be even more specific when asking someone to talk. Ask to be put in touch with someone in the loyalty, retention, or VIP department for a significant discount on your bill.
Beware of Upsells
Customer representatives are trained in upselling services and may try to persuade you to upgrade your plan by offering what appears to be a cheaper deal. For example, an agent may offer you faster internet speeds, more mobile data, or more TV channels at the current price you are paying or at a small premium.
Don’t get started with sales techniques like this, as they often trick customers into buying items that are actually more expensive. Tell your broker up front that you are only interested in lowering the price of your current plan without making any changes to the service.
Review Your Account
Once you agree to the new pricing, ask your account manager to go over the plan in detail, including benefits, discounts, and final pricing, to avoid misunderstandings. If the discount applied to your account is a promotion, be sure to check the expiration date. That way, if you mark your calendar, you’ll know when you need to call back and renegotiate.
Also, before hanging up, it’s a good idea to ask the person you’re talking to to keep a record of your conversations and account updates. That way, even if there are no changes to your bill, you’ll have your call notes in writing. Although rare, it’s common for employees to forget to record their conversations, and the savings won’t show up on their bills.
Give it your best, and try some of these tips so that you can relax without worrying too much about bills and the amount of money you have left.
