Sneaky Ways You Are Losing Money

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Has it ever crossed your mind that if you could just manage to save up to $10 per week, by the end of the year you would be boasting an odd $520 which seems to have come out of nowhere? Losing money is remarkably easy and you usually don’t realise it until it is too late.

When throwing money out of the window, we are usually too preoccupied with the deed stripping us off our pennies to notice that we are making unnecessary purchases or payments. We will just wake up at the sight of our dramatically decreasing funds. So how do you ensure that all that leaking stops? Identify and fill those holes and the noisy dripping will vanish in time.

Unexplained Monthly Bills

Trust us when we say what you don’t know can hurt you. More than an army of companies will try to squeeze some extra money out of you by strategically placing some costs on your bill — unnecessary costs, to be specific. Here is how you can become a sleuth at eliminating those fees that are entirely none of your business.

Cost Creeping

This is when a company manages to creep some hidden costs into your bills. Providers start charging a little extra each month, hoping customers will not notice. If at any time you start to suspect this, then it is best you consult your provider so that your rates return to normal. The unwarranted costs should be eliminated in no time at all.

Zombie Subscription

There are some agitating instances where you try to cancel your subscriptions and the company takes 6 months to ‘process’ your request. Make sure that when you terminate any agreement, the company at hand knows that you want this change with immediate effect. Do not be fooled into paying beyond what you rightfully should. Besides, losing money should not be this easy.

Take some time to scrutinize your bills each month, and don’t be afraid to speak up if something seems a bit out of the ordinary.

Overpaying your mobile phone expenses

Millions of people are paying more than they should be each month. Cellphone companies know that you probably won’t have any time to look at the number of calls and messages you receive each month, so they could overcharge without you ever finding out. So how do you keep track of your expenditures?

Install a program that will help you estimate just how much data and calls you use per month. With this, you can select a plan best suited for your needs.

The good news is that, in time, you won’t be losing money due to cell phone usage as 4G data plans will actively reduce the amount of quota you need from your respective network provider.

Renting vs. Buying

Next time you want to clean your carpet, how about you go to the furniture depot and rent out the utilities you will need for just a few hours — all for a fraction of the price you would originally have to pay if you bought whatever item?

You will probably need to use that pressure carpet cleaner only once or twice a year, so be reasonable and think smart. Renting will definitely scratch out any chance of you losing money unnecessarily .

Claim Your Credit Card Rewards

A recent Colloquy.com study showed that multitudes avoided redeeming their credit card points because they were saving for that special Hawaii trip. This is not recommended because, in the end, a third of your rewards will remain unclaimed. Who knows, you might miss a payment or they might expire, so spend them while you still can.

Our advice is to claim your cash-back rewards and apply that amount to your credit card. Even better, you can bulk up your emergency fund rather than letting that money sit there without doing you any good. This sounds like a better deal, doesn’t it?

If you still have not figured out the reward point mayhem, then it is best you ask your credit card company for a heart-to-heart on how you can use these to your advantage. Remember to use them wisely, or else this is more money down the drain instead of being put to good use.