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You can put together a solid budget for all your big purchases. But from time to time, it always helps if you can find a tip or trick that can take you that extra mile and help you save a little more than you planned to.
If this is what you’ve been looking for, today’s your lucky day because here are 5 smart ways in which you can save on your next big purchase using a savings account.
1. Time your purchase right
When it comes to making a big purchase, timing can matter a great deal. Some spends get more pocket-friendly during certain months of the year, while others may shoot up depending on the timing. This phenomenon applies to several big-ticket expenses like flight prices, hotel bookings, general travel expenses and even weddings.
Take the last one on the list, for instance. The cost of booking a wedding venue during peak wedding season can be quite steep. Similarly, flight prices are typically higher during the second half of the week. And they increase dramatically if the travel date is nearer.
A little bit of research can go a long way in helping you identify the best time to spend on a particular product or service. So, time your purchase well to save a little more than you expected to on the cost.
2. Exchange old for new
If the big purchase you're contemplating next is an electronic appliance or a piece of furniture, this technique may help you save several thousands of rupees. Most leading retail chains and online marketplaces give you the benefit of exchanging your old stuff for new.
If you have an older product from the same category, you can trade it in for a new one. All you need to do is provide the details of the old product, and after assessing its quality, the seller will offer you an appropriate discount.
This tip works for many premium products like smartphones, televisions, other home appliances and even furniture like sofas and wardrobes. So, before you make any such major purchase, always check if the seller has a good exchange policy you can take advantage of.
3. Consider second-hand goods
If you don't have any old product to trade in for a new one, you could always choose to buy a preloved item. Of course, this idea may not be ideal for certain kinds of purchases, but for the most part, you can save a lot of money by opting for used goods.
This technique typically works best if you want to buy appliances like televisions, washing machines, refrigerators and air conditioners. But that's not all. Buying used over new is also growing increasingly popular in the automobile market, with many buyers flocking in to buy used cars.
But a quick word to the wise before you buy user products - make sure you check and double-check the quality before you invest your money in a product.
4. Look for coupons and discounts
This is a technique that can work wonders irrespective of the type of product or service you're planning to purchase. And it's particularly relevant if you're making an online purchase. Most sellers and retailers offer attractive discount coupons from time to time. You may be eligible for these offers by signing up on the seller's site, subscribing to their newsletter or even by making your first purchase.
You can even find many app-only discounts for certain products or services like hotel bookings, flight prices, premium jewellery and more. That said, many savings account online have discounts or offers on certain services or with certain merchants. Ensure to check that before you make any purchase.
Also read - How to Save Money for Travel
5. Use a credit card
Don't have anything to trade via an exchange offer or any coupons to bring down the price of your next major purchase? All you need is a credit card. Now, a credit card may not directly reduce the cost of your purchase, but it can offset these expenses with various other financial incentives. So, the net financial outcome is positive.
Here's how this works.
When you use your credit card to make a purchase, you need to pay the bill by the due date. And when you pay your bills on time, you build a good credit history. That's not all. You also get to earn rewards and cashbacks on your credit card spends, and depending on the channel through which you pay your credit card bill, you may even get some exclusive offers and discounts.
Conclusion
These tips may not all work for the same commodities. But if you keep an eye out for good offers, and if you compare prices on different channels before you make a purchase, you can certainly save a good deal on your big-ticket spends. Similarly, before you open a savings bank account online, make sure to compare the discounts and benefits offered by each lender and opt for the one that better suits your spending habits.
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