I have grown up thinking I was an expert for having a bunch of money saving habits. It wasn’t until now that I realized I am actually losing money by doing them! Here are six money saving tips that might actually be losing you money.
It’s common sense to turn off a light when you leave the room to save money on your electricity bill, but apparently it might be costing you more. If you use fluorescent lights (CFL’s) turning them off for less than 15 minutes, and turning them back on again will cost you more money than just leaving them on. So, if you plan to go back into that room within 15 minutes, keep the lights on.
Also, if you don’t already use florescent lights, you should probably switch. They use about 75 percent less energy than standard incandescent light bulbs and can last up to 10 times longer.
Couponing can be beneficial sometimes, but you need to take a step back and ask yourself how much your time is worth. Couponing can be a very long process, which can only save you a few dollars in the long-run. So is three hours of work really work five dollars in savings?
Also, you might end up spending money on things you wouldn’t usually buy, costing you even more money.
Even when our gas tank is filled, a lot of us, (including myself) give it a few extra pumps, so it’s really full. Apparently, those few last pumps actually just stay in the hose so you end up buying gas for the next customer.
Cancelling your credit cards is obviously better than doing too much spending on them, but it is best just to keep them in a drawer, than to actually cancel them. Cancelling your cards is bad for your credit because when you close an account, you lose the credit line attached to it.
This is bad because if you ever need a loan, banks will look at how much of your available credit you actually use. So, closing an account will lower your available credit and therefore make you look like you’re using a lot of your current credit.
It is best to have a few credit cards that are active but that you don’t use. This way your available credit will look huge compared to what you actually use.
I am always guilty of falling for these next two..