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Savvy Australians are saving hundreds of dollars on their mortgage, health insurance and utility bills by simply picking up the phone and demanding a better deal from their service providers!

 
How can you save more money on your mortgage and other bills?
 

“Having seen several competitive home loan deals on HashChing, a leading mortgage comparison website, I decided to call up my bank and ask for a better rate,” explains Simon, who was able to drop half a percentage point from his mortgage rate by placing a single phone call. The key, according to Simon, is to arm yourself with information about how your current rate stacks up against comparable home loan deals in the market.

However, it does not always happen that banks offer you a discount immediately. If they do, well, you must ask for a written confirmation stating the date from when the new rate would apply to your account. If they don’t, be persistent and approach a mortgage broker, like Mr Shah did, to have an expert negotiate the rate on your behalf.

Mr Shah was turned down by his bank when he requested a lower rate on his mortgage. However, he did not give up. He contacted a verified HashChing broker to negotiate monthly savings of $200 from the same bank that had denied his request earlier!

Mr Shah’s initial attempt at getting a lower rate failed because he didn’t know what the other lenders were offering. The mortgage broker directly called Mr Shah’s bank and threatened to switch him to a different lender if they didn’t match the competitor lender’s offer. Afraid of losing a premium customer, the bank relented and agreed to reduce Mr Shah’s rate to 4.09 percent pa from 4.54 percent pa.

Mr Shah, who is saving $200 a month with his new rate says that home borrowers must regularly research online for better rates. “Speak to your bank or lender, and if you can’t get a better deal from them, then be ready to move to a different provider,” he adds.

Mr Shah is right in what he says. If your bank cannot match what you want, you could always consider refinancing with another mortgage provider. However, it is essential to take into account the cost of refinancing before you make the switch. (Learn more about refinancing here.) By calculating your projected savings and the costs associated with switching to a new loan, you’d be able to determine your breakeven point or the time it would take for you to actually pocket your savings instead of making good the refinancing cost.

You can compare hundreds of competitive home loan deals here.


Saving money on your health insurance

It is possible to save hundreds of dollars on your health insurance premium if you only read the fine print and compare quotes from various providers to see which cover provides you with the best value for your money.

Besides, it is also important to review your cover from time to time. It is possible that you no longer need to include maternity care in your policy and can save money by dropping pregnancy and birth-related insurance. Once you have reviewed your policy and compared rates online, start by calling your insurance provider to negotiate a better deal.

“It pinched me to shell out almost $500 a month on health insurance for myself and my family. I finally called up my insurance provider and asked them for a cheaper cover that included all the extras I needed such as dental treatment and physiotherapy,” says Susan, who is glad she made that call, as it helped her understand her policy better as well as save money.

The insurance provider offered her an updated quote that reduced $50 from her monthly premium by dropping off some extras the family did not need. Susan warns that one should not jump at the first quote offered by the insurer. “Ask what cover you would be dropping to score the savings. It could be something important like cardiac cover that you don’t want to drop!”


Saving money on utility bills

Being a loyal customer should be rewarding. However, if you find yourself overpaying for your loyalty to a service provider, it is prudent to ask for a rate that is comparable to what others are offering in the market or switch to a better deal with someone else!

Did you know you could save over $500 a year by changing your mobile phone plan or provider?

All you need to do is jump to a comparison site to review phone plans or packages offered by various providers. Once you identify a better deal, call up your existing provider and let them know how much you can save by switching to a deal by X provider. Explain that you are a loyal customer who feels cheated by the higher rates and are ready to switch to a competitor unless a matching retention offer is made to you.

Don’t forget to ask for the savings you’d make as compared to your current deal to make an informed decision.


Saving money is easy!

Did you know that Australians are paying $11.6 billion in lazy tax each year by not shopping around for the best deals offered by banks, insurance companies, grocery and utility providers?

By shrugging off the laziness and researching the ongoing rates in the market, you can boost your savings by thousands of dollars each year that could be used for a family vacation or applied towards your first rental property to grow your wealth!

According to experts, a mortgage is usually the biggest expense for most families. Given the low-interest rates that are currently available in the market, if your home loan rate starts with anything more than ‘3’, it is time you wake up and start looking for a better deal.

At HashChing, you can find broker-negotiated home loan rates that are often cheaper than lender advertised rates published elsewhere. Besides, you could get in touch with a mortgage broker who will assess your financial situation earnestly and offer you competitive home loan deals that best-fit your requirements.

 

By Vidhu Bajaj,
HashChing Content Writer

 

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HashChing is helping Australians by providing access to the pre-negotiated home loan deals. Obligation free consultation with one of our partner brokers might save you time, hassle and money.