A Reddit poster recently shared six ways that homeowners can save money each year. Some of the original poster’s (OP’s) tips are really useful, and it’s worth taking a look at the suggestions as they could go a long way towards helping you keep more money in your bank account. 

Here are the six tips that the Redditor offered, along with a few details on how to make each of the suggestions work for you. 

1. Switch auto insurers

One of the OP’s first suggestions had to do with changing auto insurance providers. The OP suggested shopping around at least once per year to make sure you’re getting the best rates. He said he has done this personally and saved himself $1,300. 

This advice makes good sense, especially as some insurance companies actually charge people more if they think they aren’t likely to shop around. It’s also worth comparing homeowner’s insurance rates as well, and seeing if you can bundle your coverage and keep both policies with the same carrier to get multi-policy discounts. 

2. Reduce your monthly bills

The OP advised looking for ways to reduce monthly bills as well. He suggested an app called BillChecker.org which allows you to check your bills monthly to find ways to save.

You can try out the app, which is free, but can also look through your credit card statements to see if there are streaming services you aren’t using or other potential expenses you can cut. 

3. Pay the lowest possible prices online

Reducing online spending is another tip from the OP, and he advised using a browser extension to help you see if you’re paying the lowest prices. He suggested Capital One Shopping, but the Honey app is another option as well. These apps allow you to see what different stores are charging and to find coupon codes that you can apply to your purchase. 

There are also other ways to reduce online spending as well. One tip to cut down on impulse purchases is to remove stored credit cards which make it too easy to buy with one click. If you have to manually enter your card each time, you’re less likely to buy something you end up regretting as you’ll have more time to consider your purchase. 

4. Ask a debt relief company for help dealing with your debt

The OP’s next suggestion is to get help from a debt relief company to reduce your debt balance if you owe more than $10,000.

This advice actually is not necessarily the right advice for everyone to follow. Debt relief companies charge fees for negotiating debt and when you pursue this type of debt relief, it can do damage to your credit, which comes at a big long-term cost.

Rather than rushing into debt relief, you should look into other solutions such as consolidating existing debt at a lower rate using a personal loan or balance transfer card and making extra payments to try to reduce your balance more quickly and lower total payoff costs over time.

Debt relief like the poster suggested should be considered a last resort, and if you do wish to pursue it, you should try to negotiate a plan with your creditors on your own first before you pay for a debt relief service.

5. Work with a financial advisor

The next piece of advice, to work with a financial advisor, is a much better suggestion. The poster said a financial advisor can help with tax planning, but they can also do much more than that to assist you in defining your financial goals and getting on the path to achieving them.

Look for a fee-only advisor who is a fiduciary, which means they must act in your best interests at all times. 

6. Take advantage of high-yield savings accounts

Lastly, the poster advised keeping your money in high-yield savings accounts to maximize the interest that you earn. This advice is worth taking, as many high-yield accounts offer low or no fees and pay rates that are more than 10 times the national average. 

Many of the best high-yield savings accounts are online and you can open your account and move money over with a few clicks. This is a good place to keep any funds that you may need in the upcoming few years as well as the ideal spot for your emergency fund so it is accessible when you need it. 

By following some of these tips, including getting professional help from an advisor and using the correct accounts, you can set yourself up for a more successful future.

Still, you always need to be cautious about where you get financial advice so while the Redditor has some good ideas, there’s no substitute for getting expert financial help from an advisor who knows the specifics of your situation and who can work with you on your individual goals for the future. 

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