Saving Money Information-Money Management, Save Money

10 Expenses You Can Do Without (And How to Get Rid of Them)

1 Your Auto Lease or Auto Loan Payment

Pay in full for a quality used car and you will eliminate a monthly payment and may be able to insure for less. The money saved in interest and insurance should offset any extra maintenance costs. Performing simple upkeep (tire inflation, adding fluids) yourself can add to the savings. The model of car you choose can greatly affect your insurance premium. If you cannot commit to buying used, then consult new car guides to find models that carry a lower purchase price and cost less to maintain.

2 The Amount You Are Overpaying on Auto Insurance

Most agencies offer lower premiums when a driver remains with the company over a long term. Other discounts include those for specific auto safety features, for taking defensive driving courses, for retired persons, for those employed within certain professions, and for members of particular groups or organizations.

In addition, change your payment schedule to one lump payment per year to avoid administrative fees charged for paying in installments. Increase your deductible to the next level (or to the highest amount that you can afford).

3 Satellite TV, Cable, Premium Channels, and Sports Packages

In some areas, you may need a cable service provider in order to get decent television reception. However, this does not mean you need every channel offered. If you must have cable or satellite, drop to a basic package.

4 Your Land Line or Your Cellular Phone Service

If you choose to keep your landline, in lieu of a cell phone, beware of any hidden penalties or charges for cancellation of the cellular line. Consider Skype, found at www.skype.com/ ,or a similar online service for free long distance calls. If you choose your cell phone over a landline, cut out some of the add-on services, such as texting packages, as they can quickly add to your monthly bill.

5 Membership Fees and Club Dues

Unused or underutilized memberships at the golf course, the gym, or any other clubs are generally wasted investments. If you have any standing arrangement that requires a monthly or yearly fee, crunch the numbers and see what it is actually costing each time you attend. Many forms of exercise (such as walking or running) require virtually no equipment. If you want to use facilities such as a tennis court or pool, consider a municipal facility (those offered by city government), as they tend be less expensive.

6 Bank Fees

Banks that do not charge fees to maintain your checking or savings account are plentiful. Some banks also offer to refund fees when you must use another bank's ATM.

7 Credit Card Interest and Related Fees

If you must use your credit card, find one that pays cash back for transactions. Try to pay the balance in full each month, to avoid interest charges, and always pay on time, to avoid interest rate hikes and late fees. Try calling your credit card company to request that they lower your interest rate. If you have a better rate offer (from another company) to counter with, it may help convince the company to meet your request.

8 Private Mortgage Insurance (PMI)

This form of insurance protects the lender, not you or your home. You can request cancellation if your loan falls outside the bounds of the Homebuyers Protection Act of 1998. The act requires lenders to cancel this insurance when your equity reaches 22 percent of the home value at the purchase date.

Sometimes you can request that the lender cancel the policy when your paid equity has reached 20 percent. The savings possible, during the time it takes to achieve that additional two percent, can be substantial.

9 Individual Services vs. Consolidated Packages

Ask your service provider about bundling services for your phone, Internet, and cable or satellite television. Avoid plans with low introductory fees that may increase after a few months. Check with competitors to compare prices and available services and look into bundling your insurance policies.