Continuous price hikes spoil holiday cheer: Ways to fight back

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We’re in the thick of the festive season. Parties, gift-giving, and holiday planning is well underway for many. Although, you’d be forgiven for keeping the celebrations a little more low-key this year (and you certainly wouldn’t be alone).

A new study has revealed more than half of households surveyed (57 per cent) say they will be reducing the amount they typically spend over the festive holiday period, due to significant cost-of-living pressures. The iSelect-commissioned research also found mortgage holders are more likely to be cutting back, with 64 per cent saying they will be reducing the amount they typically spend. No surprises there, especially following 13 interest rate rises between May 2022 and November 2023!

But the good news? There are ways Aussies could potentially save extra money which they might not have thought of before. Read on as we explain.

Avoid the ‘loyalty tax’ 

Think about your common household bills and expenses. When was the last time you reviewed your utility or insurance plans? Can’t remember? You could be forking out the ‘loyalty tax’ because you haven’t taken the time to compare options. It’s a common misconception that loyalty is rewarded. This is not always the case!

It’s a good idea to avoid the ‘set and forget’ trap. This is especially important when it comes to energy plans as they can generally expire after a year or two and it’s possible you could have been automatically transferred onto a higher priced plan. So, what are you waiting for? Sit down, make a coffee, and check how your current energy deal stacks up.

Look we get it – Aussies have better things to do with their time than compare plans and providers. A comparison service such as iSelect can help make it easier by comparing from our range of plans and providers. And if you do decide to switch, we’ll help you take care of the whole process, saving you time and effort.

Beat the heat on a budget

Sticking with the topic of energy, that dreaded summer power bill is an unwanted guest at the end of the warmer months for many households. If your air-con has been blasting all day recently, make sure you’re only cooling the rooms you’re using. Remember to turn off appliances at the power socket when you’re not using them to help reduce your energy usage, and if you are decking the halls this year, this includes your beautiful twinkle lights!

Look for any offers or freebies

While you’re reviewing your energy usage and plan, why not take some time to look at your insurance policies to see if you could save there too. Think health, home and contents or your car insurance.

Health funds may offer incentives around certain times of the year, so keep an eye out as you could switch and take advantage of any incentives.

On the topic of health insurance, generally, the higher the excess or co-payment you are willing to pay, the lower the premium. If you think it’s unlikely you’ll be admitted to hospital in the near future you could opt for a higher excess on eligible policies in exchange for lower overall premiums.  

There you have it folks. Three tips that could help you fight back against the cost-of-living crunch by putting some of your hard-earned cash back into your pocket. Perhaps making your Christmas celebrations a little more fun!

Disclaimer

 *iSelect does not compare all products in the market. The availability of products iSelect compare may change from time to time. Not all products made available from iSelect’s providers are compared by iSelect and due to commercial arrangements, area or availability, not all products compared by iSelect will be available to all customers. Some products and special offers may only be available from iSelect’s call centre or website. Click here to view iSelect’s range of Providers. 

iSelect General Pty Limited ABN 90 131 798 126, AFS Licence Number: 334115. Any advice provided by iSelect is of a general nature and does not take into account your objectives, financial situation or needs. You need to consider the appropriateness of any information or general advice iSelect gives you, having regard to your personal situation, before acting on iSelect’s advice or purchasing any policy. You should consider iSelect’s Financial Services Guide which provides information about our services and your rights as a client of iSelect. iSelect receives commission for each policy sold that is a percentage of the premium or a flat fee. Ask us for more details before we provide you with any services.

By Sophie Ryan, iSelect spokesperson