How to Manage Recurring Payments and Subscriptions

Recurring payments and subscriptions are becoming popular as subscription methods.  They are easy for people to set up and maintain. There are many subscription methods out there.  There is the pay as you go plans that shut off if you do not pay your bill on time. And, pay as needed is a great way to pay for something that you may only use a few times a year.  Whatever the subscription methods that you are familiar with, recurring has become quite popular but they can be dangerous as well.  

Recurring payments can be just a few dollars, however, those few dollars will add up over the course of time.  For example, there are many subscriptions to tv streaming devices that are really a small amount for most people.  These are easy to sign up for and then forget that you have them. They can continue to charge you without you even really ever noticing.  Keep a lookout for these sorts of things and stop the services that you are not using. Maybe take time every 6 months to sit down and go over your bank statement to ensure that you don’t have anything coming out that you do not use or enjoy.  

Online Subscription Methods

When you go to the store and make a purchase you typically use cash, credit card, debit card and maybe the occasional Apple pay or something similar.  It is a one time purchase that you will not see charged the very next month. However, online is different and services such as a gym membership can be different as well.  When you sign up for service be sure to ask appropriate questions. You need to check to ensure that you can cancel at any time or what the fee is to cancel. Some places do charge a fee to cancel and you need to know that upfront.  

There are products online that offer subscriptions as well.  You can get your things delivered right to your door. Things that you use a lot such as toilet paper or paper towels can be set up as a subscription.  Yes, it is not just for magazines and gym memberships anyone. Some subscription methods you can pay weekly, monthly or yearly. Sometimes there is a discount for paying all at once.  This can be nice for those that have the funds all at once. However, these subscriptions can be super easy to forget. The year is up and the automated payment is processed. Some companies are very understanding about this and will issue a refund should you not want another year.  However, other companies are not. So, this is certainly up to the buyer to remember.

Remember Recurring Subscriptions

Some ways to remember your yearly subscriptions are to put it on your calendar as a reminder as soon as you make the first payment. Set the reminder for enough time so that you can cancel or look into it, should you need to. For more information on recurring subscription methods check out https://www.vindicia.com/blog/9-essential-subscription-business-metrics.