The Leak: Using cash to pay tolls.
The Fix: Sign up for an electronic toll device, such as E-ZPass (
www.ezpass.com), which is now good on a number of toll roads, bridges, and tunnels in 11 states from Illinois to Maine; FasTrak in California; SunPass in Florida; or PikePass in Oklahoma. You’ll save time and fuel by not idling in toll lanes, and some toll roads offer regular commuters discounts of as much as 50 percent. The International Bridge, Tunnel, and Turnpike Association (
www.ibtta.org; click on “Information & Resources,” then “Toll Rates”) lists websites for local toll authorities and their discount details.
Savings: 15 to 50 percent per trip.The Leak: Subscribing for cable TV, Internet access, and phone service from three different providers.
The Fix: Consider a package deal from your local cable or phone company. You can get digital phone service, which is provided by a broadband Internet connection, high-speed Internet, and digital channels for much less than you’d pay separately. For example, Comcast currently offers all three services for $99 a month in the Northeast (price varies by region), a
33 percent savings over the à la carte price. Start by shopping for Internet access at BuyTelco (
www.buytelco.net); then ask local providers what deals they offer when you bundle with phone and TV service.
Savings: $10 to $20 a month.The Leak: Paying the minimum on credit cards.
The Fix: The average U.S. household carries a little more than $9,000 in credit-card debt, according to CardWeb, a payment-card research site. At an average annual interest rate of 13 percent, you’ll spend almost $1,000 on finance charges alone in one year. Savings accounts earn little to no interest, so dip into them to pay off your balance. If you don’t have savings, pay double the minimum and slowly increase your payments each month. “You will work off the balance faster and reduce the total amount of money that you will pay out over the long term,” says Nick Jacobs, a spokesman for the National Foundation for Credit Counseling. Pay off higher-interest credit cards first, and never skip a payment, which can result in a late fee of $35 or more and an increased rate on all your credit cards. To calculate the most efficient payment schedule, visit
www.creditcardnation.com and click on “Debt Zapper.” If your bills are out of control, contact a nonprofit credit-counseling service, such as the Association of Independent Consumer Credit Counseling Agencies (
www.aiccca.org), to locate a counselor who may be able to help you negotiate lower rates with your banks.
Savings: $10 to $20 a month.
