Tip #6: Read Your Credit Card Statement
I discovered an important practice that may help. It is simply this: Read your credit card statement carefully. Study each charge and identify it. Ask your partner in crime (the other credit card user) if he/she recognizes it. If there is a charge you don’t recall making, phone the number listed to see what was purchased.
I discovered recently that I had $40 a month going out on products that I was not using. How could I have done this? It’s actually so easy, so insidious, even, that you may be surprised you are doing it too. Here’s how it goes:
You’re driving down the road and your cell phone rings. You may be on vacation as I was, or simply too busy to make a note of this call. The person calling you is selling you something and you know you don’t want it. You even tell them you don’t want it. But they are very good at selling and they say, no problem, just take a look at this product, review it, and cancel it if it’s not for you. And just for doing so, hey, we’ll send you a $15 Walmart gift card. You can use that, right? Or xyz, some other gadget or semi-useful promotional item. And because you are distracted or begin thinking about the promo item, you say yes. Yes: the most dangerous word in the world. Now of course, you know you are going to cancel, because you’re not entirely brainless, but you have to wait for that gift card, or the item. And besides, you have 30 days.
The next thing you know, the gift card or promo item is forgotten, and so is the 30 day decision to cancel. And there’s a charge on your card now, and every month until you fix it. And three months down the road that monthly $40 becomes $120. Do you see why I said it’s insidious?
The time I agreed to review the emergency accident insurance that will save me money on a trip to the ER (who doesn’t want to save money at the ER?) I waited for the materials to come in the mail. Guess what. They never came. When I called to cancel, several months later, I learned that they were sent. They were sent in an email, as was my gift card. I am sure I deleted them without looking, thinking they were spam. I spent $45 for a free $15 gift card I deleted. How dumb is that!
I hate when I do dumb stuff, and I try hard not to tell people when I do. However, it seems that this is not all that unusual, and it might be a useful tip. It was an expensive lesson. In short, study your credit card statement, and make that call right away. It will save you money.
good advice. I will remember that one. never thought of them sending through email. I always delete things I am wary about. Thanks for the heads up.