Six Things You Probably Didn’t Know Were up for Discussion
If you’ve ever bought a car, you’ve probably bargained a bit. We used to strain our negotiating muscles about things like cars and salaries, but there are a number of other expenses that could be discussed if you just try. Here are six of those costs and how to deal with them.
Credit card fees and commissions
If you have credit card debt, a high interest rate can be a big problem. This can make it really difficult to get out of this debt, which is why it is important to develop a debt repayment plan. Meanwhile, negotiations for a lower annual interest rate are possible .
Just call your credit card company and follow the instructions. Here’s one we looked at :
“Hi. I’ve really had to strain my finances lately to make monthly payments on this credit card, and I need to somehow lower my interest rate. It would be convenient to keep a balance on this card, but I have some other options that could really save me some money – for example, right here is a zero interest balance transfer proposal. Could you lower the interest rate on my account to, say, 9.9%? “
Basically, you want to make sure you pass:
- You are a good buyer
- You are having problems paying at the current rate
- Politeness: be kind but firm
You might even consider telling them that you are thinking about transferring your balance to a higher rate card. Obviously, they are not guaranteed to give you what you want, but calling and asking is easy enough.
Likewise, if you have a bonus card with an annual fee, you can call and ask to opt out of it . Several of our readers have confirmed this work; they call the credit card company every year, say they are thinking about canceling, and when they are moved to customer retention, they simply ask to be charged.
Your monthly rent
It makes sense to focus your money-saving efforts on the most expensive areas of your budget, and housing is probably your biggest expense. If you can manage to negotiate a lease, you are gold. And lease negotiations happen more often than you think. As one industry insider explained :
Until a few months ago, I was managing all kinds of apartment complexes – and I’ll give you a hint: every property, especially large complexes, has a minimum rent they can charge for an apartment. Market rents are typically $ 50-200 more per month. When you travel around the apartment, always tell the rental manager / agent that your budget is a lot LOWER than what they quote you and mention that you looked at a couple more places that are just as good / comfortable / whatever that fits this budget. They will lower the monthly rate. They give out monthly concessions to convince people to move. Do you negotiate $ 100 a month and sign an annual lease? Bam, saved $ 1200.
Of course, your mileage will vary depending on where you live and what the demand is in your area. But there are a few tips to keep in mind if you’re going to ask for a better deal:
- Offer a prepayment several months in advance (unless, of course, this results in financial losses for you)
- We offer to conclude a longer lease agreement
- Offer to trade in work, such as mowing and grooming your own lawn, for a discounted price.
I can attest that it works, and I live in a big city where almost everyone is filming. When I moved to a new apartment in my house, I asked for a lower price than announced and the management company agreed, provided that I signed a longer lease. You should definitely ask.
Coupons and discounts
If you’re ready for this, you can try bargaining for better prices at major retailers like Best Buy and Costco .
Price negotiation is an easy way to do this, although this is not really negotiation because many stores offer formal pricing matching policies . Use an app like RedLaser to scan items in a store, and if you find a cheaper item, ask the cashier if they’ll change the price.
Plus, you’d be surprised at what you can actually negotiate with regular retailers, especially if you’re buying high-value items like home appliances. We’ve already given you some tips , and here are some things to keep in mind:
- Go beyond the price: For example, if you are buying a new lawnmower, try to negotiate additional items: a can of gasoline, engine oil, or a new lawnmower blade.
- Looking for a damaged item : Is there a dent on the coffee table? A small hole in a T-shirt? Damaged packaging? It is always worth asking for a discount if the item you are buying is defective or damaged in any way.
- Find floor-standing models or open boxes : these are usually discounted, but store managers may agree to sell them for an even better price.
Additionally, there are free shipping thresholds: this is what retailers offer free shipping, but only if you spend $ 50. This is also subject to discussion .
When you shop online, open a chat window, if there is one, and tell the support representative that you really want to buy item X, but you can’t buy it without free shipping. Many retailers will immediately offer you a different free shipping code.
Medical bills
My insurance company once charged me a couple hundred dollars for a blood test I got during my doctor’s appointment. Apparently my insurance did not cover this blood test. It is my own fault for not reading the explanation of the benefits, but I called anyway and asked them about it. Surprisingly, they agreed to pay for it as a courtesy.
The point is that medical bills are often discussed ; all you need to do is pick up the phone and talk to your doctor, hospital, or insurance company.
For example, if you have a high hospital bill, you might want to try the fast payment offer. This includes offering to pay your entire amount at once in exchange for some savings.
When you call, it helps you find out the actual cost of any procedure or care you pay for, and a site like Healthcare Bluebook can help you find out that cost. You can find treatments, find out how much they cost in your area, and compare prices. This way, if you are negotiating, you will be armed with the best numbers.
And then there’s the good old method – just ask . In an interview with the New York Times, Michelle Leone of Continuum Health Partners said :
“Most hospitals will discount the bills of patients who pay for private services,” Ms Leone said. “Most hospitals offer generous discounts.”
You can negotiate even with insurance. Two years ago, Lisa Cullen’s father, Thomas Reilly, became very ill and went to the emergency room three times. Each visit cost about $ 15,000. Mr. Reilly’s insurance company challenged some of the charges, and the family ended up owing $ 11,000 to the hospital.
The hospital managed to lower the bill to $ 5,000. “I was surprised to learn that hospitals would rather be paid partially than not receive any money at all,” said Ms. Cullen, a writer based in Leonia, New Jersey. Often times, you can develop a payment plan with the hospital whereby you pay your bill in installments rather than straight away.
They add that you can also discuss individual billing with doctors. With so many patients who simply never pay, most hospitals and doctor’s offices would rather work with you than let you refuse to pay. Some of them may even offer special payment plans for severe cases.
College education
Yes, you can get a better price for training. Time reports that 89% of private college students pay, on average, half of the “flat rate” of their tuition. Of course, in colleges this is not called negotiation; they just offer scholarships and help. But, surprisingly, this is the subject of negotiations.
If you have multiple college offers, you have an edge. In US News & World Report, one father explains his own experience in this regard:
“We went to both colleges and showed each other college offers. We actually found them to be very responsive. They may not like the word negotiation, but it is clear that it was negotiation, ”Goldman says.
Using this and other tricks he learned along the way, such as pushing his kids to attend well-funded private colleges that are likely to reward them financially for academic achievement, Goldman estimates he received over $ 200,000 in charity help for their four children.
Keep in mind that colleges that give you the same income can accomplish this in a variety of ways. Schools have a lot of leeway in how they balance grants and loans – a coveted violist or student government president with excellent SAT scores can get, say, 75 percent grants and 25 percent loans, while you’re being offered the exact opposite – and you are clearly better off with the largest possible handouts.
Some colleges even offer “family discounts,” meaning discounts for siblings who are in the same school. There are not many of them on the Cheap Living list , but there are many more, so it is best to check in college.
Work bonuses
We’ve given you all sorts of tips for negotiating salaries , and if they don’t work, try discussing other perks. There isn’t much your boss can do with the company’s budget, but he or she may be able to work with you on employee benefits. For example, Harvard Business Review suggests negotiating vacation times . You want to be specific in your proposal:
Tom asks his boss to either reconsider whether the company can offer a pay raise with a promotion, or instead consider giving him some extra time off immediately and promising to return to pay when the company’s finances improve. Jennifer also offers her manager two options: first, a phase-out plan that would allow her team to fully function while members were away, and second, a new policy that would allow her reports (and possibly others) to relate days off to work. they will go on business trips in the coming year.
There are a few more benefits worth talking about , for example:
- Title : This may sound cliché, but a better title can help you achieve your long-term career goals.
- Project Placement : Asking your boss to take on specific tasks will help you feel independent and enjoy your work.
- Flexible times : Telecommuting can make a significant difference to your weekly schedule and job satisfaction, even if it’s just a day in the week.
Also, some employers pretend that salary negotiation is never a good fit (especially if this is your first job), but it’s always worth trying, even if it seems pointless. For example, when a friend of mine asked for a salary increase at a seemingly non-negotiable rate, the company told him the rate had been set, but they later called him back and offered a flexible schedule.
If you don’t have any work experience, you can still try asking. Just prepare for your research and focus on your skills rather than experience as you present your case. You may have acquired these skills during an internship, college, or part-time job. When asking for a higher salary with no work experience , focus on those skills and how you honed them.
If there is a lesson here, it doesn’t hurt to ask. You may be surprised at what you can get by simply speaking out. Of course, not everything is negotiable and you don’t want it to get boring, but there are many costs you can save on with a little haggling.
Illustration by Tara Jacoby.