Here’s how you can save HUNDREDS just by getting on top of your monthly subscriptions
ANYONE who has experienced that sinking feeling when they see a parking ticket balanced on their windscreen knows, it feels terrible to spend money unnecessarily.
When tightening our belts there really is only one place to start, and it could save you hundreds in just a few minutes.
Unneeded subscriptions are costing us a small fortune and even though it felt like a good idea at the time, it’s time to be honest and cancel that rolling contract that you aren’t using.
This is your chance to stop donating to the charity of the gym and stop throwing money away on online dating sites you haven’t logged into for months.
Holly Smith, Founder of said: “We often overlook these recurring charges because we all have very busy lives. But is that the only reason?
"No, more often than not, the initial subscription is completely free or at such an outstandingly good price you just can't say no! Boom!
"You've just fallen victim to one of the most perfect marketing traps out there, taking advantage of people's lazy nature and the "instant gratification" feeling.”
So what can you do about these sneaky charges draining your bank account? It’s time to get to grips with the subscriptions and direct debits.
Here are some of the most common offenders which are probably creeping away with your funds...
Music
Companies like Tidal and Spotify can charge regular subscription rates that are easy to forget about.
Tidal offers you 30 days free, but you need to cancel your monthly contract before the charges kick in.
You can also downgrade to a regular Spotify membership, meaning free access but adverts in between songs.
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Credit checks
Experian are now offering a free credit check but if you signed up before this service kicked in, you may still be being charged.
Most people don’t spend much time looking at their credit report after the initial evaluation so there is no need to stay signed up to the service.
Gym/weight-loss club
We are all guilty of this. The gym can be expensive with prices ranging from £10 per month up to well over £100.
Be honest with yourself about how often you are going and work out how much that means it is costing you per work out… you may be surprised by the figures.
Online services
These are things like Netflix, Now TV, Amazon Prime and online gaming services. If your circumstances change and you stop accessing these – be sure to cut them off immediately.
Online dating
Some of the biggest sites ask for a fee for their match-making services.
But whether you’ve ditched eHarmony because you found love or because you got fed up – you need to make sure you cut off the payments.
Magazine subscriptions
If you’re not reading it – it’s time to ditch it.
Don’t let those magazines pile up still in the plastic bag making you feel guilty, cut off the subscription and end the spending madness!
How to find your subscriptions and direct debits
If you don’t know what you’re paying for there’s an easy way to find out.
Steve Nowottny, news and features editor at said: “First do an audit of your direct debits and standing orders, scouring your bank account statements to check.
“Then tackle hidden recurring payments on your debit and credit cards.
“These can be harder to spot as they can look just like anything else on your statement.
“Doing all this can sound like a lot of effort, but it’s absolutely worth it – MoneySavers tell us they’ve saved £100s giving their regular payments the once-over.”
What to do once you’ve found those hidden subscriptions
It may be that you want to hang on to some of your monthly sign-ups as they could be useful and good value for money.
Holly Smith from Extreme Couponing UK suggested you ask yourself the following questions…
Do you still need it? Was this a one-time subscription to try out or gain temporary access to something?
Are you still happy with the service you're getting from it? Don't feel obligated to keep it going just because you got a great deal 3 month ago.
Are you paying the same price as you thought you were? Some services hike up the price after a "deal" period of time has expired.
Holly advises cancelling your subscription if you answered “no” to any of these questions.
Extreme Couponing UK’s Founder Holly’s top questions to ask yourself when signing up to subscriptions
- Contract - Is the service a fixed term payment or a rolling contract to stay subscribed?
- Initial Payment - Is it an introductory offer that will go up after a set amount of time?
- Small print - Will the service be restricted or lowered after the initial sign up period?
- Competition - Is the service offered anywhere else for cheaper?
- Offer – Am I being lured in by freebies or sign up gifts? Evaluate if you would take the subscription if it didn't have all the bells and whistles.
- If you are signing up to a free trial – have I set a reminder on my phone or tablet 10 days later to cancel? This will save you getting stung later on by letting it slip your mind.
How to cancel unwanted subscriptions and direct debits
The joyful news is that this is relatively easy in most cases.
You can start by simple cancelling your direct debit payment through online banking or just by popping into your local branch.
In response the company will usually just send you a letter saying that they haven’t been paid that month and that they are cutting off the service immediately.
A few subscriptions are trickier to shake and you may have to call the company and navigate their automated system to cancel.
Holly has some advice for when cancelling directly with a company.
She said: “Be careful because sometimes they like to ‘forget’ or give the excuse: ‘The system didn't recognise your cancellation’.
“Always write down the time and date when you cancel a payment that wasn't done directly via your bank.
“If you are subsequently stung by an extra charge, you can always ring them back up and give them exact details of when, where and why you wanted to cancel your subscription - 9 times out of 10 a refund will probably be on its way.”