Make Money the Easy Way with Money Saving Tips

Beware of Financial Pitfalls, Credit Card Insurance & Overdraft Fees

Sep 23, 2009 Mary King

No one likes to lose money, but consumers throw away thousands of dollars each year by wasteful spending habits. A reality check can put the money back where it belongs.

People still waste money on non-essentials even when unemployment is high and the economy is still in a rocky state. Some consumers will never learn, but others simply don’t see the bad spending habits burning holes in the personal and family budget almost every single day. Careless shopping is just one way to waste money. There are many easy ways to put the money back where it belongs – in the consumer's wallet.

How to Stop Losing Money

Buying too much and buying things that one doesn’t need are sure-fire ways to lose money, but what about money-wasting habits that aren’t so obvious? There are lessons to be learned if one is to keep from making the same money-wasting mistakes over and over.

Return items that are broken or don’t work. Most purchases are returnable for up to thirty days, so save the item and the receipt for the next trip (unless it’s something needed right away). Brushing off a bad sale two or three times a year – even five dollar items – can add up.
Return clothes that don’t fit properly. Unless all sales are final, return items to the store for a refund. Keep receipts for 30 days anyway, in case any kept item unravels, shrinks, or suffers damage due to poor quality material or workmanship.
Return foods that don’t smell right or look bad, and return new container items that have broken seals. Tossing the stuff is a waste of money. Most likely, one will be in the vicinity of the store within the next few days, so hold on until then to keep from wasting gas.
Turn off the car engine. If one has to wait longer than 30 seconds on a passenger, then turn off the engine. It's a waste of gas – and money – to keep the car running.
Skip the gym membership. Work out at home; most likely one would have attended a few sessions and then let the membership slide anyway.
Avoid bulk purchases. Perishable items may go out of date before the item can be used.
Watch overspending at the grocery store. Stores are strategically arranged to lure customers into buying gadgets, toys, and all kinds of little household items, all at unreasonably high prices.
Buy at discount stores. Purchase cleaners, paper items, and many household items at dollar stores where the prices are usually much cheaper.
Properly freeze food. Freezer burn costs money and so does throwing out old food from a freezer that’s too big for the family.
Avoid buying on a whim. Stay away from ordering unfamiliar products online and buying products advertised on TV. If the item has to be returned, shipping could be costly.
Don't buy holiday presents from mail order companies. Shipping is often outrageous and it's costly when anything has to be returned. Go with green gifts on special occasions, instead.
Don't buy extended warranties on electronics and gadgets. The manufacturer's warranty should be enough; plus, shipping an item to be fixed after the original warranty expires is likely going to cost too much to make a repair on an older item worth the money.
Avoid "bargain" brands that require using more. Cheap dishwashing liquid is no bargain when one has to use twice as much to get the job done. Avoid cheap off-brand laundry detergents that don't work well without added stain remover products.
Use coupons. Coupons are good for free groceries, restaurant meals, oil changes, dry cleaners, and practically every small service there is. A few minutes of clipping can add up to hundreds of dollars saved. Coupons are terrific money-savers, but only if one can use the service or item.

Beware of Big Money-Losing Pitfalls

Woman's Day magazine writer Mary Hunt offers tips on big money wasters in the article, "Everyday Money Wasters" (April 15, 2008, p.103). Hunt advises consumers on credit card theft insurance by stating, "If your card is stolen, by law the most you will be liable for is up to $50 ..." Hunt also points out that credit card disability insurance is needless: "The company just puts your payments on hold and the balance continues to grow while you're sick or disabled."

The bank is the place where a lot of consumers lose big money. Overdraft fees can cut deep into a budget. With online banking and so many convenient ways to check the bank balance, there is literally no excuse for an overdraft. At the other end of the money spectrum, keeping a high balance in a checking account is costing money, considering one could be collecting interest if the funds were in a savings account instead.

There are hundreds of easy ways to make a household income go farther simply by cutting bad spending habits and taking advantage of money-saving offers. Save money around the home by unplugging electronics and keeping the house clean; better yet, go green to save even more money.

To stop unnecessary spending, go grocery shopping after a meal. Iron at home instead of sending shirts to the dry cleaners. Have a yard sale to make cash. All these tips to save money put dollars back into the consumer's pocket where it belongs. It pays to know where the money goes; take a good look at every dime and think twice before handing it over.

The copyright of the article Make Money the Easy Way with Money Saving Tips in Personal Budgeting/Finance is owned by Mary King. Permission to republish Make Money the Easy Way with Money Saving Tips in print or online must be granted by the author in writing.

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