Financial traps: 10 most commonly accepted deadly rip offs
This is a simple list of very simple tools you can stop being ripped off. these are well known ripoffs most of the company are using and by a few actions you can save £100 or £1000.
- Always deselect auto renewal when buying any type of insurance. 9 out of 10 it will not be cheaper
- If you don’t have this option ring the insurance company and ask them to do not auto renew
- You can always be loyal and chose your existing insurer but it is better doing it having checked if they are competitive
- they will always send you some kind of reminder so do not worry if you think you will forget
Joining gym in January
- Everybody knows that after having tons of food and drinks during Christmas you want to join the gym. Gyms knop it and you will sign up for a yearly contract at the high price. you might not even use the gym after the first month
- If you want to join the gym select summer time and make sure you don’t sing up for more than 3 or 6 months unless the gym offers you financial incentives
- If you really want to lose some weight after christmas, go for the jog or walk, eat less during January and February and keep your motivation to join the gym. Delayed satisfaction is much more motivating so when you join the gym you will be more disciplined to train.
Being loyal to utility or broadband Provider
- always shop online for utilities and broadband every year
- Always check what are the best offers and haggle as much as you want
- You should not pay for a good broadband with phone line and TV over £40 per month
Prepaid cards for energy
- They are sometimes 50% higher than any contract paid ion direct debit
- It is not that difficult to sign up for the contract
- Early cancellation fees for quitting contracts are very low around £30 per fuels. So signing up for a year will be much cheaper tha prepaid cards
Not paying minimums bill on your credit cards
- Always pay your minimum credit card bill
- It is very expensive not to
- Your credit history might be affected
Buying extended warranty for your appliances below £100 such as electric kettle, alarm o’clock, toaster etc.
- It just does not make send paying 30% of the value of the product for ‘extended insurance’ for the product which you will buy again in 2 or 3 years
- You have the chance to buy another type of product
- Nobody really knows how they work
- they are good for more expensive products you are likely to have for more than 3-5 years
Buying car insurance from the local broker without checking online
- Unfortunately local brokers are less competitive
- It is not the rule so always check them and check online
To go shopping while being hungry
- No comments here, if you are hungry and go grocery shopping you will buy food you don’t need
Buying petrol or diesel on motorway services
- Food at motorway services is generally 10%-20% more expensive. This goes up at night.
- Buy a minimum if you have to and don’t have time and refill up to full tank when you get off the motorway.
- It is a good utility to have but don’t use it
- It is easy to get into the expensive small debt trap