Negotiate Your Bills

Amanda Peterson

March 27, 2024  •  2 Minute Read

Financial Tips, Money Saving Tips

This Wise Spend Wednesday, we're tackling a superpower many consumers forget they possess: the power of negotiation! You might not think negotiating applies to your monthly bills, but you'd be surprised. Here's how to use your negotiation skills to slash those bills and free up cash for the things that matter.

Why Negotiate?

Companies, especially service providers like cable, internet, and phone companies, factor in customer churn (customers leaving) when setting rates. By negotiating, you show them you're a valuable customer they want to retain. This can lead to discounts, waived fees, or even free upgrades.

Before You Dial

Know Your Numbers: Gather your bills and track record of on-time payments. Research competitor plans to understand what features cost and if there are better deals out there.

Be Prepared to Compromise: Negotiation is a two-way street. Be open to discussing different service tiers or bundling services to get a better rate.

Negotiation Tips

Be Polite and Persistent: Courtesy goes a long way. Explain your situation calmly and factually. If the initial offer isn't ideal, politely ask for a supervisor or retention specialist.

Highlight Your Loyalty: Being a long-time customer with a good payment history strengthens your bargaining position.

Don't Be Afraid to Walk Away: If the company isn't budging, be prepared to end the service and potentially switch to a competitor. Often, the threat of losing your business is enough to get them to negotiate.

Negotiating Different Bills

Telecom (Cable, Internet, Phone): Focus on your current usage and ask if there's a cheaper plan that better fits your needs. Mention competitor promotions you've seen.

Electric and Water: Ask to be put on a budget plan. Many times they'll simply do it if you ask. The budget plan takes an average of the household use over the past year or so, and gives you a set monthly payment.

Subscriptions: Many services offer lower rates for annual memberships or bundled subscriptions. See if there are student or senior discounts available.

Gym Memberships: Explain your current usage and inquire about freezing your membership or a lower rate if you're not using all the facilities.

In Summary

Remember, negotiation isn't about being pushy. It's about having a conversation and finding a win-win situation. By following these tips, you can leverage your negotiation power to save money and keep more cash in your pocket. Wise Spend Wednesday encourages you to take control of your finances. So, grab your bills, do your research, and get ready to negotiate your way to savings!