Have you ever paid for a service that you didn’t use?
Or continued to pay for one long after you stopped using it?
We have all probably been guilty of this at some point.
The start of the new year is a great time to reel in those unused services.
Just like we scrubbed our bills, now is the time to cancel those unneeded subscriptions.
How Many Do You Have?
Most people underestimate or forget just how many recurring charges that they incur.
These can include gym memberships, online sites, club fees, and magazine subscriptions.
The danger in recurring monthly (or annual) charges is that they often go on long after you stop using the service. In fact, many companies are counting on this to occur.
Subscriptions can lead to overload. They can be burdens on your mind. On your time. And, of course, on your finances.
It’s time to clean up your subscriptions.
They Add Up
The first step is to make a list of all of your subscriptions and recurring charges. This is a good list to keep in general and to update regularly.
You may be quite surprised just how many recurring subscriptions you have.
Don’t forget:
– Club memberships (Sam’s Club, buying clubs, etc.)
– Online memberships (Online sites and services)
– Magazine subscriptions
– Media rental services (Netflix, Gamefly, and more)
– Software recurring licensing fees (common for online apps)
– Unneeded utilities (cable premium services, phone charges, etc.)
You may not think these are that bad. After all, some of them are only a few dollars a month.
But, let’s take the example of a simple $9.99/month fee.
It adds up quickly… to almost $120 a year!
Add a few more small fees…
$10 + $10 + $15 = $35/month = $420 for 2011.
You can see that even a few small subscriptions can rapidly pile up. Before you know it, you are paying in the thousands of dollars a year in subscription fees.
Turn Them Off
Turn off those subscriptions.
I recently cancelled two recurring monthly services fees. One was $10 a month, and the other was $18/month.
That will be $336 saved in 2011. Not bad.
Take the few minutes now to cancel those unused services.
You could save hundreds or more in the coming year.
What services are you paying for that you are not using? What subscriptions do you need to cancel?
Great article. It should be an annual exercise in every household. Another thing for another day is to check competitive prices on services you choose to keep. Many vendors would rather negotiate a new and cheaper rate with you than lose your business entirely – call them up an tell them what their competitors are prepared to offer you – this can work on interest rates and web site hosting on cell phone fees, etc.