Friday, July 3, 2015

How to Lower Your Cable TV & Internet Bill

     As the Fourth of July "Day of Independence" looms, I'm reminded that our forefathers fought against "taxation without representation".  Yet, history repeats itself.  Example: In March, the monthly cost Time Warner Cable's "triple-play" service was $191.93.  After my legwork, it dropped to $143.01, and I have better services.  How did I accomplish that magic?  What wizardry did I use?
     Most people don't scrutinize their monthly bills.  Hence, they fall prey to overcharging.  Cable companies are notorious for inching up your bill, over time.  Last year, Time Warner began a new policy of suddenly charging customers $5 per month for the modems (that they had always been using for free).  Late last year, the price-hike surged up again to $8 per month!  That's two price increases in one year!  I'll bet that a majority of the population either hasn't noticed or doesn't care.  They might be the same who overspend on $4 cupcakes and $6 iced coffee, and have no understanding of price gouging.  
     Some people have called those tactics "internet overcharging schemes".  Regardless, if you look at your bill, you'll notice another important part.  The more you let yourself get charged for, the higher the taxes and surcharges are!  So, you're getting "railed" by the government taxes, just because you've let your rates creep up.  It's worse than being double-billed by magazines like GQ or overcharged by an attorney.  Especially when "surcharges" surge for random/non explained reasons.
     Speaking of which, has anyone in our "free country" ever wondered what all those vague line-items are for?  Here were the ones on my March bill...
Franchise fee                                                                         $5.16
Federal Universal Service Fun                                           $1.44
State & Local Sales Tax                                                        $3.20
State Telecom Excise Tax                                                    $0.95
Local Telecom Excise Tax                                                   $0.66
Regulatory Recovery Fee                                                     $0.61
E-911 Fee                                                                                 $1.00
Mctd 186e                                                                                $0.22
Public Access Fee                                                                   $0.97
State Universal Service Fun                                                 $0.03
Broadcast TV and Sports Programming Surcharges      $5.50

     That's close to $20 PER MONTH of fees/surcharges... an annual extra $240.  Multiply that by the millions of NYC customers, and you imagine how much extra profit is being scammed from you.  (Meanwhile, New Yorkers endure crappy infrastructure/service from TWC).  When you can lower your bill, those percentage amounts also decrease.  Another incentive!
     Being a loyal TWC customer of several years--and oozing beguiling charm--I was able to discuss my bill with a Customer Service Representative (who might try to cut back your services before finding a way to reduce your bill) and a Client Retention Specialist (who gets a bonus for every client they keep).  I was very clear that I didn't want to buy my own modem: the TWC modem fee ensured competent "service" for it [it was recently replaced with an upgraded model anyway].  I also knew that the best promotions go to "triple play" customers like me.  (If you're a "double play" customer, adding the third service will probably make your bill less).
     Prepared for negotiation, I had already looked online for TWC promotions and competitor pricing.  Looking at old statements, I researched the items that had mysteriously increased on my monthly bills.  I told the associate about my home usage needs: I wanted a higher "mega bits per second" internet speed, and less TV channels (which are costly bundles that you can view online for free or via Netflix).  Above all, I always use kindness and respect... to begin.  Aside from it being "the Golden Rule", the strategy of "catching more flies with honey than with vinegar" works magic with often-ill-treated Client Relations Associates.
     After an efficient conversation, the associate found ways to upgrade my services and yet lower my bill.  I never had to threaten to leave TWC (although TWC finds it cost-effective to give a discount than try to lure back an old customer).  The woman was very pleasant with me.  Sometimes, you may be offered a year-long promotion.  Other times, you might qualify for a customer loyalty program.  Yet other times, you might coincidentally call when they are about to release a new offer.  
     My advice is to be a keen consumer, and keep an eye on your costs (the way Roman emperors found ways to prevent their coins from being chipped away).  Politely yet firmly protect your assets agains encroachment.  Fully understand what you are being charged for.  Make smart decisions.

*To learn about how a smart society handles things, please use this link:

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