7 Simple Rules to Save Money on Bills

Simple Rules to Save Money on Bills

May 26, 2020General

Has your family experienced job loss in the past 12 months? Do you feel like your life would be a lot less stressful if you didn't have to spend so much on your bills? You're not alone. Today, we're discussing seven actionable steps you can take today to save money on bills so you can start to enjoy life more.

1. Sign Up for Paperless Billing

One of the simplest ways to save money on your bills is to sign up for paperless billing. Some companies charge a monthly fee for the "convenience" of receiving a paper bill in the mail. Others offer a discount for opting out of paper billing. Regardless of whether you are avoiding an additional fee or getting a discount, you are saving money on your bills.

2. Put Your Bills on Autodraft

Another easy way to save money on your bills is to put your bills on autograft. Often, there is a fairly significant fee for paying via debit card, credit card, or money order due to the associated payment processor fees or administrative costs.

Contrastingly, when a utility service provider sets your bill to draft from your bank account automatically, there is no administrative action required and there are no fees.

Another advantage of putting your bills on autodraft is that you don't have to worry about missing payments. Depending on the service provider, you may pay interest at a significant rate, a flat late fee, or both. If you forget to pay the bill and ask for a payment plan or extension, your service will be cut off and there will be a turn-on fee in addition to interest and late fees.

3. Call and Ask for a Discount

An easy way to save money on your bills is to call and ask for a discount. For example, if you start working from home rather than commuting 300 miles a week for work, your auto insurance provider will offer you a discount for the remaining months of your policy.

The first bill that occurs after you call should include an additional prorated discount for the portion of your previous billing cycle that your damage was reduced significantly. If this does not occur, call your auto insurance provider a couple of weeks before your final bill is due and ask them to apply the discount against your next period of coverage (usually six months) or cut you a check.

4. Call and Say You're Switching Service Providers

If you have a mediocre relationship with your utility service provider, call and tell them that you are switching service providers. In very rare cases, your current ISP (or other service provider) will "call your bluff" and let you go as a customer. However, there is an excellent chance that they will give you a promo rate for at least a year.

5. See If You Can Consolidate Your Loans

For many Americans, a very large portion of their bills is several student loans or credit cards with balances. If you have several student loans, as long as they're not federal subsidized student loans, consolidating your student loans can save you money both in the short-term and long-term.

Just make sure you get a breakdown of all fees, including administrative fees and prepayment penalties.

It's important to think very carefully before you refinance federal subsidized student loans. Having a student loan subsidized by the federal government comes with several advantages, including the possibility of loan forgiveness.

6. Refinance Your Mortgage

Depending on the downpayment you made and the interest rate on your home, you may pay the sale price of the home over the life of the loan in interest. Currently, mortgage rates are at historic lows, so now is the perfect time to refinance your home if you have the credit to do so.

7. Make Sure You're Getting the Best Deal

If you're serious about saving money on your bills, saving money while staying with your current service provider may not be enough. You may be better off switching service providers. We can help you compare rates for services in your local area in mere minutes.

Save Money on Your Bills Today

Life is too short to be spending most of your time working to pay the bills. If you'd like to save money on your bills so you can spend your money on things that make you happy, follow the aforementioned tips. You can also save money on bills quickly and easily by browsing The Comparison Company to compare costs for all the service providers in your area. It only takes a couple minutes to save a lot of money!

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