What Expenses Are Worth Haggling Over

by admin on July 4, 2011

More and more consumers try to squeeze the most out of their hard-earned money. Choosing where to shop is important, but price negotiation is the way to wring out every dime. You can call it haggling.

Some expenses are not worth the trouble, but mortgage rates are not among them. Why? You will be paying them over the next 10 to 30 years. Make sure you get rate quotes from various issuers. You can also turn to a mortgage broker who is seeking to make a large number of deals. Obviously, the higher your credit score, the better your position is when it comes to negotiation. Your broker will help you come with estimates, but make sure you ask creditors for lower closing, as well as origination and application fees. The terms and conditions that go with credit cards are also worth haggling. With competition for clients, credit card issuers have made the conditions of credit cards more flexible. Once you get a credit card offer, call the issuer and let them know you have other offers to consider as well. Ask them if they can outdo an offer by some of their major competitors on the market. Other items worth haggling over are building materials for your home improvement projects, electronics, and automobiles. Bargaining at the dealership is a classic example. Do not try to negotiate the sticker price. Go ahead and ask the salesman what they paid for the vehicle.

If you are the shy type and worry about haggling, you should know that a new bargaining culture is taking root. Bargaining is no longer confined to jewelry stores and car showrooms. You can dicker on prices in many cases, not just on big-ticket and clearance items but on low-cost products such as rugs, clothing, audio speakers, and cameras. Bargaining is an informal policy in most stores. At the same time, major retail stores make sure their salespeople know that price negotiation is acceptable.

We would like to work with customers, even if that means to negotiate the price, says Home Depot’s spokeswoman Kathryn Gallagher (New York Times). It is not much different in Canada, just make sure you are haggling at the right place and choose the right time. It doesn’t make sense to haggle with the cashier when all you buy is a sandwich. Choose a quiet time to visit the store. It is not advisable to go on a busy Sunday afternoon. The sales representative may not have enough time to spend on negotiating. A quiet Tuesday or Wednesday afternoon may be a better idea. The time of the month is also an important consideration. It may be better to go towards the end of the month because sales representatives are struggling to meet their targets then. Finally, don’t be shy and afraid to start bargaining. They have surely heard it all more than once. Just be friendly and polite, and do not do all the talking. If they make you a good offer, let them know you will think about it. They may offer you an even better discount!

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