Cable TV can cost some serious money. Depending on the package and number of cable boxes, you could be spending $150 to $200+ per month. That’s $1,800 to $2,400 a year! I was one of the first of my friends to “cut the cord” and significantly cut my cable bill to less than half. In this post, I’ll talk about some tips and tricks to save you money each month from your cable or phone company.
Look at your current cable bill
Analyze your current bill and look at what package you have, equipment charges, and additional fees.
What equipment do you need?
For equipment charges, think if you could remove any extra cable boxes that are rarely used. Each cable box adds $3 to $12 per month to your bill.
Some service providers charge you a monthly fee to rent your cable modem, typically ranging from $4.95/month to $9.95/month. You can remove this rental fee by purchasing your own modem at www.buyyourownmodem.com. Just make sure the modem is compatible with your service provider. Some service providers have an approved modem list. For others, you might have to research online or call your cable provider. Your modem will pay for itself. Also, since it’s yours, you always have the option to resell the modem on eBay.
Additional Fees
Some fees cannot be avoided and are related to state and locale regulations. Other times, your provider might charge additional fees to pad your bill – One typical one is HD fee. These fees may be waived if you give customer service a call.
Package Details and Extras
Some companies charge an extra $10 or more for DVR capabilities. Lots of times, you might not even need this functionality as many shows are available on-demand the next day.
Thank about what channels you typically watch. There might be potential to switch to a lower package and save money along the way.
People tend to be “sticky” with premium channels – meaning, once you sign up, you are less likely to remove these premium channels from your package. Remove HBO can save you $15 to $20 per month. If you remove Showtime, that could be another $5 to $15 per month off your bill.
Negotiate a lower rate
Call your cable provider and ask for a discount. Hint: You’ll get the best discount if you call to “disconnect service” – your call will be rerouted to a special group that focuses on retention. It’s these folks who have the ability to provide the best deals for you. Note that service providers have some of the toughest negotiators in the business and they are trying to keep you as a customer and squeeze as much profit out of you as they can. Be prepared to go back and forth for at least a half hour. No matter what they offer, be considerate and then ask to disconnect service. You’ll see that the retention person will suddenly provide you with their best possible deal. If they don’t offer you a better deal, don’t worry, you can always cancel your disconnection appointment.
New Customer Promotions
New customers tend to get the best deals and perks. One recent promotion in my area included free HBO Max, a $200 Visa Card, 1 free month of internet, and a rock bottom price for internet without a contract. Unfortunately, existing customers don’t qualify, no matter how much you beg. One technique would be to change names on your account every year or two to take advantage of the promotions. Some couples switch off between their married name and maiden name. By using this technique, you’ll have to disconnect your equipment and return it to your cable provider. Once the new account is opened, you might have to schedule an installation. It might be a little inconvenient but you’re saving a ton of money.
Tip: Try to schedule your new subscription cycle on Black Friday in November so that you get the best pricing of the entire year.
Additional Tip: Check Rakuten before signing up for a new service. Depending on the time of year, providers like Verizon Fios sometimes pay $37.50 to $100 in cash back on the site.
Cut the Cord
The best way to trim down your bill is to “cut the cord” and get rid of cable. Of course, you’ll need an internet only plan but that would be much cheaper than TV and internet or TV, internet, and phone. There’s tons of streaming services to choose from – Netflix, Hulu, HBO Max, Amazon Prime Video, Disney Plus. If you still want live tv, there’s additional options as well including Sling, YouTube TV, Hulu + Live TV, Philo.
It’s easy to add all these streaming services and get a huge bill at the end of the month. Be strategic. Perhaps rotate through the streaming services providers. Watch all the exclusive content, cancel your subscription, and move onto the next service. Subscriptions can easily be added and removed.
Summary
Cable TV bills can put a dent in your monthly budget but there’s ways to save.
- Existing customers should look at your bill and find ways to reduce costs including returning extra equipment or buying your own modem.
- Negotiate a lower price on your existing package and see if you can waive fees.
- Use creative ways to get new customer promotions
- Cutting the cord is the best way to lower your bill. There’s many streaming services and content to choose from so it’s important not to add too many streaming services so that your bill is back to a large amount (which you were trying to avoid in the first place!)
Comment below if you have other money saving methods to reduce your cable bill.
