The Bills You Can Negotiate (and Exactly What to Say)

You pull up your cable or internet bill and your heart sinks: the price went up. Again. Only this time, not much – just enough. Ten dollars here. Some new, nebulous “fee” there. That’s just the sort of price hike they bet you won’t bother to dispute. They hope that’ll give you a reason to resign yourself to paying the higher rate without making a fuss. You sigh. You agree to pay. You remind yourself that it wasn’t worth waiting for hold music.

At one point, I did the same thing. But I discovered something frustrating. Many of those “final” rates aren’t final at all. Companies add padding to the price of their product or service, knowing that a portion of customers will contact them (at least initially) to inquire about a possible discount. Those are the customers who end up paying less.

Cable and internet

Let’s start with your cable and internet and proceed from there, since that’s likely where the greatest amounts of money are lying in plain view. Your promotional rate expires, and suddenly your bill jumps $30 or $40 per month. You never experience that “rate hike.” You notice that the bill grew fatter.

Pick up the phone. Tell them you’ve started looking for alternative providers. When the representative asks how they can assist, immediately say: “my bill increased and I’m reviewing my options. What promotions can you provide today?” They tell you no? Look for the retention department. Those people have the authority to grant you deals that the initial representative may not have had access to, because they’re the ones being paid to prevent you from leaving the company.

Your cell phone bill

Your cell phone provider wants to keep you happy – and that means keeping your money flowing. Before calling your carrier, find out what the competition charges for a similar plan. Write that number down. Next, call your carrier and present that information directly to them.

Here’s how I’d begin: “Visible and Mint each charge about $30 per month for unlimited data. I’m a loyal customer, and I’d appreciate it if you could either match that rate or move me to a different plan.” While you have a live person on the phone, ask if you require the amount of data that you’re paying for. It’s common for people to buy an unlimited plan but only use a fraction of their data.

Insurance (auto and home)

Insurance premiums (auto and home) reward those who shop around. Your auto and home insurance increases in price annually, and staying loyal rarely earns you a thing. So, once annually, get two or three quotes from competitors for the same coverage you have now.

Next, contact your existing carrier(s), provide them with the quoted rates, and ask if they’re willing to match or beat the lowest quote. Also, ask if there are any discounts available that you’re entitled to receive: bundled auto and home coverage, a low-mileage rate, a paid-in-full discount, a security system. One more negotiating tactic to remember: raise your deductible from $500 to $1,000, which should bring your premium down noticeably.

Medical bills

Medical bills are often wrong, and almost always negotiable. Before doing anything else, ask for an itemized breakdown of the charges listed on your hospital or clinic bill. Review every line item on the bill for items such as: duplicate billing for supplies; or services you never received. These errors hide in bills all the time, because you can’t catch what you can’t see.

Next, ask two questions: “would you be willing to reduce this bill if I were to pay in full today?” and “can you send me an application for your financial assistance or charity care program?” Most non-profit hospitals are required to have financial assistance programs. Have them point you to one. If funds are tight, ask whether they’ll let you set up a zero-interest payment plan rather than letting the debt go to collections.

Credit card interest

The APR (annual percentage rate) charged by credit cards isn’t fixed! That’s especially true if you’ve been paying on time for a while. So that makes you a customer they want to keep and will so negotiate with you about a potential reduction in your APR.

Call the customer service number on the back of your credit card and say: “I have been a customer for x years and have made on-time payments every month. I was hoping we could discuss lowering my interest rate.” The first representative tells you no? Ask if anyone else can take a look. Even shaving a couple of percent off can save you hundreds, or thousands, depending on how long you carry a balance. And while you have them, don’t hesitate to ask them to waive the annual fee too.

Your gym membership

Gyms count on people who sign up in January and never come back. If you’re paying dues but rarely going, that’s your opening.

Call or visit your local gym and tell them the cost has you thinking about canceling. Ask them: “would you be willing to put my membership on hold for a while,” or “would you downgrade my membership level,” or “will you remove my maintenance fees?” In addition, many gyms maintain lower rates for seniors and special off-peak hours membership plans in their files that they’ll never bring to light unless you specifically ask about them.

Streaming services

This one needs no phone call. Log onto your bank or card statement and circle every streaming service charge that appears: Netflix, Hulu, Disney+, Paramount+, etc. Cancel anything you haven’t used in a month.

One strategy that works well for me is rotating. Keep one or two services active, watch whatever content prompted you to subscribe in the first place, then cancel one and turn on another. Many services let you pause instead of canceling outright. Others have an ad-supported version of their service that costs less (usually several dollars).

Bank fees

Fees associated with bank accounts: monthly maintenance fees, overdraft fees, out-of-network ATM fees—these add up quickly. Banks routinely forgive these types of fees far more frequently than most realize.

You incur an overdraft or late fee? Contact your bank and say: “this is the first time this has happened. Would you be willing to waive this fee as a courtesy?” For those monthly account fees, ask: “are there any alternatives, like free checking?” or “does direct deposit or keeping a minimum balance get this fee waived?”

Tips for making these calls

A few small habits make all of these calls go better. Be friendly to whoever answers, because they decide how hard they’ll fight for you. And write everything down: the date and time, the rep’s name, and the specifics of anything you agreed to.

When the first rep says no, thank them, hang up, and try again later with someone new. On each call, say plainly what’s happening with your bill (“my internet bill jumped $X”), say exactly what you want (“lower my monthly payment”), and ask one clear question (“what promotions can you offer today?”).

• Best times to call: weekday early mornings, when wait times are shortest.
• Magic phrases: “what can you do for me today?” and “is that the best you can do?”
• If the first rep can’t help, ask for the retention or a senior representative.
• Confirm any new rate or waived fee in writing, by email.

Photo by Aaron Lefler on Unsplash