{"id":108664,"date":"2024-07-25T01:49:35","date_gmt":"2024-07-25T05:49:35","guid":{"rendered":"https:\/\/www.iwillteachyoutoberich.com\/?p=108664"},"modified":"2025-04-03T04:44:32","modified_gmt":"2025-04-03T08:44:32","slug":"how-to-lower-your-monthly-bills","status":"publish","type":"post","link":"https:\/\/www.iwillteachyoutoberich.com\/how-to-lower-your-monthly-bills\/","title":{"rendered":"How To Lower Your Monthly Bills (and save hundreds every month)"},"content":{"rendered":"\t\t
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Want to turbocharge your debt payoff? Let’s start by putting more money back in your pocket every single month.\u00a0<\/span><\/p>

In this post, I\u2019ll show how trimming your monthly bills can uncover an extra $1,000 or more per year – cash you can immediately throw at your credit card debt.<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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Method #1: Negotiating<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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Negotiation skills are the most powerful tools in your toolbox, because they help you cut costs and earn more money.<\/span><\/p>

The easiest way to perfect this art is by starting small, then scaling up to bigger wins, which is what we\u2019ll do in the following months. But today, you\u2019ll start to get your feet wet by negotiating to lower your monthly bills.<\/span><\/p>

Most people start paying for a subscription (gym, car insurance) and never check on it again. Any recurring expenses like your cell phone, cable and insurance, you should be looking for ways to get lower plans at least once a year. That means picking up the phone and negotiating.<\/span><\/p>

People are more motivated by loss than by gain<\/span><\/p>

Robert B. Cialdini talks about this in his book <\/span>Influence: The Psychology of Persuasion<\/span><\/a> \u2014 we are more motivated by loss than gain, meaning you’d rather not cancel something once you have it. “What if I miss something?” people wonder. Or, “Oh man, will I really have to research another service to make up for this?”<\/span><\/p>

This is why companies love subscription fees – they get to take your money on a regular basis without you really thinking about it. So we end up signing up for things we think we need and pay more because we worry we’re going to miss some new feature. Of course, you can cancel it altogether \u2014 or you can optimize your spending with a couple hours of phone calls.<\/span><\/p>

Treat everything like a test<\/span><\/p>

When I signed up for a new cell phone plan, I picked the most expensive plan and set a calendar reminder to check in on it in 3 months. During that time, I tracked my usage and then downgraded accordingly.<\/span><\/p>

You should do this with everything: your cable, Netflix, gym memberships, magazine and online subscriptions. The best time to do it is the month before you have to renew. That way you have all the power. You’ll have plenty of time to review your options and decide whether to switch services or not. And, because the company will want to keep you as a customer (remember, their customer acquisition cost is often in the hundreds of dollars), they’ll be more likely to give you what you ask for.<\/span><\/p>

Most people will never cancel a plan, even when it comes to subscriptions they don’t use because, again, they are afraid of missing out on something. If you track your usage, then you have the advantage of making informed decisions based on facts rather than unfounded fear.<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t

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How to Negotiate Your Monthly Bills <\/h3>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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Most of these companies have this wildly curious business model of acquiring tons of customers through very expensive means (e.g., national advertising), then churning through them by treating them horribly. Yet even they know that it\u2019s cheaper to retain an existing customer than to acquire a new one. You can use this \u201ccustomer acquisition cost\u201d in your favor.<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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Cell Phone Bill<\/h4>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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To start, let\u2019s take a look at how to negotiate your cell phone bill:<\/span><\/p>

  1. Find comparable plans for your usage on other cell phone networks. For example, I\u2019m with AT&T, so I\u2019ll investigate Verizon, T-Mobile, and Sprint by going to their websites. Write down how much they each cost, how many minutes you get, and any other benefits.<\/span><\/li>
  2. Call your current cell phone company.<\/span><\/li>
  3. Ask them what better plans they have to offer you. You can use this script:<\/span><\/li><\/ol>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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    You: \u201cHi, I was looking at my plan and it\u2019s getting pretty expensive. Could you tell me what other plans you have that would save me money?\u201d<\/span><\/p>

    Them: Blah blah same plans as on the website blah blah<\/span><\/p>

    You: \u201cWhat about any plans not listed on the website?\u201d<\/span><\/p>

    Them: No, what we have is listed on the website. Plus, you\u2019re on a contract and have an early cancellation fee of $XXX<\/span><\/p>

    You: \u201cWell, I understand that, but I\u2019d be saving $XXX even with that cancellation fee. Look, you know times are tough so I\u2019m thinking of switching to [COMPETITOR COMPANY]. Unless there are any other plans you have\u2026? No? Ok, can you switch me to your cancellation department, please?\u201d<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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    Note: What you really want is to be switched to their \u201ccustomer retention\u201d department, which is the group that has the ability to retain you by giving you a bunch of free deals. You can either ask to be switched directly to the customer retention department, or play a game and hope that by asking for \u201ccancellation,\u201d you\u2019re actually transferred to retention. Play around with a few phone calls and see what works best.<\/span><\/p>

    When you get to the customer-retention department, ask for the same thing. This is when you pull out your competitive intel on the other services being offered. If Verizon is offering something for $10 less, tell them that. That\u2019s $120 savings \/ year right there. But you can do more.<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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    You: \u201cListen, you know times are tough and I need to get a better deal to stick with you guys. You know and I know that your customer acquisition cost is hundreds of dollars. It just makes sense to keep me as a customer, so what can you do to offer me this plan for less money?\u201d<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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    Notice that you didn\u2019t say, \u201cCan you give me a cheaper plan?\u201d because yes\/no questions always get a \u201cno\u201d answer when speaking to wireless customer-service reps.\u00a0<\/span><\/p>

    Ask leading questions. You also invoked the customer-acquisition cost, which is meaningful to retention reps. Finally, it really helps if you\u2019re a valued customer who\u2019s stuck around for a long time and actually deserves to be treated well. If you jump around from carrier to carrier, <\/span>you\u2019re not a worthwhile customer to carriers<\/span><\/a>.<\/span><\/p>

    One final thing: People get scared that if they go to the cancellation department and try to negotiate, they\u2019ll get their account canceled without really wanting to do that. There are two things to remember about negotiating your wireless bill:<\/span><\/p>

    1. You have a MUCH stronger position if you\u2019re actually willing to walk away and switch to another plan<\/span><\/li>
    2. Your account will never get canceled until you say the final word. You can negotiate for 3 hours and walk away if you want.<\/span><\/li><\/ol>

      This same strategy can be used for your other bills, with very minor tweaking:<\/span><\/p>

      Have you read my NYT Bestselling book yet? If not, watch this 10 minute summary while you\u2019re here! <\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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      Or, download the first chapter right to your device:\u00a0<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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