HOW TO SAVE MONEY ON MEMBERSHIP AND SUBSCRIPTIONS

By Andrew Wayland, Everyday Loans

If there are costs you can cut on memberships and subscriptions, this is the time to have a really good look. Us Brits collectively waste £25billion a year on under-used subscriptions.

The average UK adult spends £496 on regular payments each month, with £39 of it – about 13% - being squandered on unused direct debits, standing orders and recurring card payments. For 12% of us, the biggest waste is on unused gym memberships. Video streaming subscriptions come second on the list, 10% of saying they have an account they don't watch. And signing up to free trials and then forgetting to cancel contracts is another money-waster for many.

To make sure you continue to save as lockdown is lifted, here are seven ways to cut your subscription costs

1. Review frozen direct debits

   We all have direct debits that may have been frozen or cancelled as we entered into lockdown so decide if they all need to be set back up or can some be cancelled. Did you really get your money's worth out of gym memberships and those subscriptions? If you've not missed it during lockdown, chances are you don't need it.

2. Get a handle on the subscriptions you're currently paying for

   Look through your bank statements and work out the total cost of what you're paying to determine if you can still afford them or really need them.

3. Be honest with yourself about VFM

   When was the last time you used the service? Is it frequently enough to make the cost worthwhile? Can you afford it? Are there better priced alternatives or deals to be had? If you don't think you're getting value for money, it's better to cancel.

4. Know when your subscription contracts need to be renewed

   For the subscriptions you keep, make a calendar note of when the contract is up. This way, each time a subscription is up for renewal, you can decide whether you still need it and afford it – and shop around beforehand to find a better deal.

5. Know when to cancel free trials

   To ensure you don't end up contracted to a subscription you either don't want or can't afford, set calendar reminders for when free trials end and payment kicks in.

6. Ask for a discount

   If you feel like you're paying too much or the service hasn't been great, barter for a better price. Contact the company to ask for a discount.

7. Pay upfront

   If the money's available, paying upfront for a year-long subscription that you need and use regularly can work out a lot cheaper. Most companies will give you a discount for signing up for a longer period as it ensures a steady revenue for the business.