Personal Finance

How To Lower Your Bills

By David Krug David Krug is the CEO & President of Bankovia. He's a lifelong expat who has lived in the Philippines, Mexico, Thailand, and Colombia. When he's not reading about cryptocurrencies, he's researching the latest personal finance software. 8 minute read

It’s natural for our focus to be drawn to the larger costs we face each month, such as rent, food, and transportation. That’s a great starting point for your budget, but if you really want to optimize your savings rate, you need to include in every expense you incur each month.

It’s a relief that you won’t be working solo. There is a growing market for services that assist busy people negotiate lower rates on their monthly bills, cancel unwanted subscriptions, and monitor price increases for services.

Using a bill negotiating service can help you save time and money by ensuring you always obtain the best available rates on your monthly bills.

How Bill Negotiation Services Function

Simply dialing a few numbers can drastically cut your monthly expenses. One easy option to reduce your Internet price, for instance, is to simply phone your provider and ask for a cheaper deal. Why? Because most service providers are open to haggling in order to maintain your business.

The downside is that making these calls requires dedication and time. Having a number of subscriptions and payments to keep track of might also make it simple to put off calling about individual invoices.

In this case, the solution is to hire a bill negotiating agency to handle the difficult conversations on your behalf. In exchange for effectively decreasing a cost or terminating an unwanted subscription, these providers will typically divide the yearly savings with you. In most cases, you’ll have to pay the bill negotiation service a small portion of the money you save.

If a firm claims to reduce your payment by $100 a year and charges 40% of that savings up front or in installments, you would pay $40 total. The remaining $60 in savings, however, is all yours to keep.

When everything is said and done, it’s more expensive than just phoning each service provider individually. If you’re debating whether or not to get it done now, think about how much time and stress you’ll save.

What bills am I able to negotiate?

The most effective bill reduction firms take on a wide variety of charges. A few typical types of charges are:

  • Cable and streaming services
  • Internet
  • Cellphone plans
  • Satellite radio
  • Home security

In addition to managing medical bills, some programs provide access to no-cost insurance quotations and can identify unused subscriptions.

If you’ve already cut back on your spending by canceling cable, getting rid of your landline, and switching to a cheaper Internet provider, you may not be able to save much more through bill haggling. If you have numerous monthly subscriptions, though, you may be able to save hundreds of dollars annually by using a trustworthy negotiating service.

The Most Effective Bill Negotiation Services

Any of these bill negotiation services is a good option if you’re sick of throwing away cash on unnecessary overpayments.

  1. BillShark

Having appeared on “Shark Tank” and received funding from tech tycoon Mark Cuban, BillShark has quickly become one of the most well-known bill negotiating services available.

Although BillShark’s “Shark Tank” presentation may be fancy, the service actually has a lot to offer. Since 2016, BillShark claims its technology has helped its subscribers save over $10 million on their bills. BillShark also states that its clients have a 90% success rate when negotiating their bills, and that they save an average of $300 annually as a result.

BillShark negotiates your utility bills for 40% of the money they save you, and those rates usually stick around for at least a year. Without your explicit approval, BillShark will never switch providers, lengthen your term, or reduce the quality of your service in order to save money.

BillShark will only switch your service provider if doing so would provide you a better deal or access to additional services. While this isn’t certain to occur with every BillShark-facilitated bill reduction, it is something to keep in mind.

Lastly, BillShark provides an insurance calculator to help you evaluate your current coverage in light of that of potential competitors. Free of charge, this application allows you to enter information about your house and vehicle insurance plans from more than 30 different companies.

BillShark’s free insurance tool will help you locate discounts and other ways to save costs. BillShark is a top choice among bill negotiation services if you haven’t lately contacted your service providers to negotiate lower rates for yourself.

  1. BillFixers

One such well-known company, BillFixers, says its customers save $300 a year on their bills because of the service.

Using BillFixers eliminates the hassle of making the initial contact to your service provider in an attempt to lower your monthly bill. Once you sign up for BillFixers, you’ll have access to more than a hundred different service providers from which to select in order to identify potential bill savings. After you upload a copy of your invoices, BillFixers will begin negotiating on your behalf.

BillFixers takes half of your first year’s savings if you reduce your spending. By default, payments are due every month; however, if you cancel or switch providers at any point throughout the year, the payments will stop.

If you have a recurring expense, BillFixers claims it may negotiate a lower rate for you. It encompasses regular costs like those for the web, phone, and TV. On the other hand, it may haggle for discounts on things like home security systems and newspaper subscriptions. 

BillFixers does not currently negotiate: medical bills, insurance premiums, credit card balances, rent, legal costs, or vehicle payments.

  1. Truebill

Bill reduction is typically where bill negotiation services stop. Alternatively, Truebill’s thorough expenditure summary can help you feel more in charge of your budget.

After installing the Truebill software on your Android or iOS device, you may link your bank account to the app so that it can keep tabs on your monthly bills. Truebill, like other popular financial applications, employs industry-standard procedures for storing data, including bank-level 256-bit encryption.

  1. Trim

You may save money and reduce expenses automatically using Trim. In order for Trim to evaluate your spending habits, you must first register an account and then link your bank account to Trim. Then, Trim will emphasize subscriptions that renew each month so you can see exactly what you’re paying for. Trim will terminate your subscription for you if you decide to do so.

A simple method to get financial freedom is to stop paying for unnecessary subscriptions. On the other hand, Trim also works as a bill negotiator. Trim has the ability to reduce costs across a variety of services, including telecommunications, the Internet, and healthcare. To get Trim to negotiate on your behalf, simply upload or email over a bill. Trim takes 33% of your yearly savings as its fee if you use it to save money.

Your financial situation may be quickly assessed with the help of Trim. Spending history, account balances, and a breakdown of your expenditures by category may all be viewed on your personal finance dashboard. While not as feature-rich as applications like Tiller or Mint, these additions provide for more convenient basic budgeting.

  1. BillCutterz

BillCutterz is a good option if you want a full-service bill negotiating service but don’t require assistance with your budget.

BillCutterz is among the sector’s pioneers, having launched in 2009. BillCutterz claims that their customers often save several hundred dollars annually by using their services. If you have doubts, the savings calculator will help you determine how much you could save on utilities.

  1. BillAdvisor

BillAdvisor is one of the most costly bill-negotiation services available. You pay them half of the money you save by using their free plan. Or, for $12.99 a month, you can join BillAdvisor as a premium member.

This pricing structure looks less competitive than other negotiating services at first sight. BillAdvisor claims that its customers save an average of $830 a year, making the service’s $11 monthly fee or 90% savings split more than reasonable.

To be honest, that’s an incredible sum to shave off your regular expenses. BillAdvisor, on the other hand, has a long list of legislation they bargain for, such as:

  • Internet
  • Phone
  • TV and streaming services
  • Energy services
  • Home security
  • Auto, home, and life insurance

Gym memberships, meal delivery services, and magazine subscriptions are just some of the recurring charges that Bill-Advisor claims to be able to manage. You may start the negotiating process by uploading copies of your invoices online or sending them through email or text message.

For this reason, BillAdvisor has a monthly subscription plan available. The organization tracks member expenses to let them know when discounts are about to expire or when there is a more affordable option available. BillAdvisor also works tirelessly to uncover discounts and other ways to reduce your monthly outlays.

Obviously, the number of subscribers you have to this monitoring service will determine its usefulness. The membership fee may be justified, though, if knowing that regular savings are being realized on recurring payments is important to you.

  1. CoPatient

Medical bills are not often handled by bill negotiation services. Although companies like Trim may be able to help with medical expenditures, those with very high prescription costs or other health-related expenses may benefit more from working with a service that focuses on those costs specifically.

One trustworthy choice is CoPatient. As much as 80% of medical invoices, claims CoPatient, include mistakes that lead to unnecessary payments. Bills can rise rapidly, especially when you factor in out-of-network expenses.

  1. Medical Cost Advocate

Medical Cost Advocate is a service similar to CoPatient in that it helps you negotiate healthcare costs and keeps a percentage of the savings.

There is also a 35% service fee added to the overall amount saved with Medical Cost Advocate. You have nothing to lose by giving bill negotiation a go in an effort to lower your medical costs. In addition, Medical Cost Advocate may bargain for discounts on all kinds of health care costs, not only medical ones or dental ones.

The hitch is that you have to have a bill of at least $600 before the Medical Cost Advocate will begin negotiating on your behalf. Company claims savings average between 20% and 50%. There’s no promise of a cheaper price, but filing a bill just takes a few minutes, so it’s worth a shot:

  1. Fill up the patient’s profile with their name, address, phone number, DOB, and insurance information (if applicable).
  2. Don’t forget to provide your insurance company’s contact details.
  3. To submit a bill to your insurance provider, either enter the billing information or upload a copy of the statement showing charges, the amount paid or outstanding, and whether or not you have filed the bill.
  4. If Medical Cost Advocate is able to reduce your expenses, they will bill your card the difference.

Bottom Line

One of the most fruitful ways to save costs is to adopt a more frugal lifestyle. Keep your expenses down, fast sometimes, and be more mindful of your money. Adhering to these fundamentals will help you financially.

However, there are still ways to economize on the essential monthly expenses. Calling the big ones once a year to beg for discounts or lower prices is a good idea if you have the time and patience to do it. As a devoted client, you may be able to negotiate a price reduction by threatening to switch to a rival company.

Use a bill negotiating service instead to save time and effort. Saving half as much is better than saving nothing at all, and you could be pleasantly surprised by the bargaining prowess of these services.

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