BILLS are soaring – and you might be driving them up even more with these little-known bill mistakes, according to consumer expert Adam French.
Families are being stung by rocketing price rises from energy and fuel to food and transport.
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Energy bills have doubled for millions to an average of £1,971 after the price cap went up on April 1.
While drivers are being stung by record-breaking fuel prices and families could be paying £20 a month extra on food by the end of summer because of soaring inflation.
But you could be making these bill hikes even worse by paying extra when you don’t need to be, warns Which? consumer rights expert Adam French.
He has four tips to help households avoid spending any extra cash unnecessarily.
While a cost of living crisis bites, The Sun’s Squeeze Team is here to offer advice and guidance from experts to help you protect your finances as best you can.
If you’re worried about how to make ends meet, are struggling to pay off your debts or don’t know how best to manage your cash, get in touch by emailing [email protected].
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Ditch extras on broadband TV and phone bills
You might be forking out more money on a broadband, TV or phone bill package than you need to.
For example, while it might be tempting to opt for an unlimited data allowance, it could mean you are paying for more than you actually use.
The average phone user taps into just 4.5GB per month, Mr French said.
So if your package includes more data that’s going unused, your bill is likely bigger than it needs to be.
To check if you can get a cheaper deal, Mr French recommends using a comparison website.
He said: “Which? Switch Mobile lets you set a minimum data allowance and then compare deals by price – you can use it to check whether the amount you’re currently paying is reasonable, and find a new provider if you want to make a switch.”
Meanwhile, on your broadband package, you might be paying for a landline and call add-ons.
But as many people never use a landline, you could be wasting money.
Other extras could be ditched too to save money, Mr French said.
“You may be paying for add-ons like 1571 Voicemail, which is £2 per month with Sky, or £3.61 with BT,” he said.
“Anonymous caller reject is £4 and £6.87 per month with Sky and BT respectively, and other call blocking or barring services cost extra too.”
Cancel unnecessary insurance or cover
Sometimes, companies try and get you to take out insurance or cover for at the till, such as a household appliance, like a phone or a boiler.
But before you sign up, it’s worth considering if you really need it, Mr French said.
“You may already be able to protect your mobile phone under an existing policy.
“For example, if you have contents insurance, you may be able to add your mobile phone to your policy under personal possessions cover.”
Plus, mobile phone insurance doesn’t cover you in all eventualities – for example, for incidents caused through “carelessness”, like accidentally dropping your phone down the toilet.
And most won’t cover you if your phone is stolen while unattended.
Customers can also be offered boiler cover – which covers the cost of call outs, labour costs and repair works.
But Adam said it is “not cost effective for most consumers”.
A recent survey by Which?, for example, found that most people pay an average of £297 a year for boiler cover.
Yet those without cover paid an average of £87 for an annual service or repair works. And emergency works could be covered on your home insurance – so do check the policy terms.
“It means consumers stand to make substantial savings by ditching boiler cover,” Mr French said.
Tap into bank account perks
Some current accounts come with extra benefits, such as travel insurance, car breakdown cover and mobile phone insurance, which are packaged together for a monthly fee.
Packaged bank accounts can be great value – but only if you’re actually using the benefits, Mr French said.
It could mean you have accidentally taken out cover like home or car insurance elsewhere, instead of through your bank – where you can save money.
“To avoid wasting your money, keep an eye on annual statements, and switch to a free account if you’re not making the most of the perks you’re paying for.
“Think about the way you run your account, for example, if you tend to use an overdraft from time to time, a standard account may save you money on fees and charges.”
Not buying supermarket fuel
Drivers are being hit at the pumps due to rocketing fuel prices.
At the beginning of April, petrol prices stood at 162.65p per litre, while diesel reached 176.44p – meaning motorists are spending more to fill up than ever before.
But typically, petrol at supermarket pumps is a few pence cheaper per litre than fuel at branded petrol stations.
And if you make the most of supermarket loyalty schemes, you could save even more.
“For motorists buying fuel from the same supermarket where they shop for groceries, signing up to a loyalty scheme could save money,” he said.
“Many supermarkets also offer loyalty cards. Drivers can collect points every time they fill up, which can be exchanged later for cashback or discounts later on.”
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