Saving money is harder today than ever because the cost of living has risen, but paychecks haven’t gone up to compensate. That’s why you need to try and stretch your dollar every way possible. So, take a look at these five things that you’re probably paying too much money for, and change your ways.
Name Brand Products when the Generic Brands Are the Same Thing
Lots of people spend more money at the grocery store than they have to because of name brand products. In many of the cases, name brand products are the same thing as generic brand products. So, if you’re opting for the brand name, you’re paying too much. Try some generic brand products yourself, and if you can’t find a difference in taste or quality then stop buying the name brand products.
Flexible Interest Mortgage Loans Instead of a Low, Fixed Rate Mortgage
There are lots of different mortgage loans to choose from when you buy a house, but they don’t all cost you the same in the end. So, you might be paying too much for your home. One of the most common mortgages that you have to pay more money for is a flexible interest mortgage. This is because the rate can change at any time, so you might have to pay significantly more interest than having a loan with a locked-in rate. Mortgages with longer terms also make you pay more money in the end. Of course, all loans have different interest rates and terms, click here for an example.
Getting a Large Tax Refund Instead of Getting More Money Throughout the Year
Do you get a tax refund? That means you’re spending too much on taxes throughout the year. Essentially, you are allowing the government to make interest off your money. So, you can save some money by lowering the taxes that are taken out of your paycheck. You won’t get as high of a tax return, but you’ll be able to earn interest off that money instead of the government.
Paying Car Insurance Premiums without Shopping Around
Another place where people spend too much money is car insurance. This is because every car insurance company has different rates, and they change based on your age, driving record, and car model and make. So, you might be able to save a significant amount of money by choosing one company over another. It’s free to get car insurance quotes, so you might as well shop around.
Extended Warranties on Electronics that Will Go Extinct Anyway
It’s happened to everyone — you purchase some new electronic toy and the cashier warns you of all the things that can go wrong and asks you if you want to buy an extended warranty. Most of the time, however, these extended warranties are just a ploy to get more money out of you. The chances that you’ll actually use the extended warranty are slim to none.
This is just a small list of ways you can save money. What are some other things that people pay too much money for? Leave a comment below.