Free has always been one of marketing’s most irresistible words.
A free trial, a free sample, or a free trial period: these deals sound like a no-brainer way to get more for less. But hidden beneath the promise, more often than not, are hidden charges that will shock even the most vigilant person.
Knowing how to uncover those extra costs can be the difference between stretching every dollar and seeing money slip away stealthily.
Subscription Scams Disguised as Free Trials
Another extremely common way that people end up with unexpected charges is through free trials. You choose a free month or a free week, and, surprise, surprise, the subscription gets automatically changed into a paid one before you even have a chance to cancel.
Companies mostly expect that you will forget to cancel the service, and the small print makes cancelling hard most of the time. If offers of free trials are attractive to you, set a reminder on your phone the day that you signed up, or else you will end up paying for a service that you never even signed up for.
“Free” Banking Perks That Aren’t So Free
Bankers love no-fee and free-checking accounts.
Sounds nice and simple, at least in theory: stick your money in a safe place and don’t pay for the privilege. In practice, the no-fee and free-checking accounts arrive loaded with stipulations, like a minimum balance required or limits on the number of transactions that you can make before charges start accumulating.
That free account isn’t very free anymore if you don’t meet the requirements. Best bets are those that define the conditions in plain English, have palatable fees, and don’t have many surprises hidden in the fine print.
Hidden Costs in Travel Deals
Few things get us more stoked than finding some kind of free upgrade or no-fee addition when booking a trip. Travel, though, is notorious for tacking on fees. Resort fees, baggage fees, and booking “service” fees all slip into focus after you’ve clicked through a seeming bargain.
Apps That Cost More Than You Expect
While most mobile applications claim to be free, the actual experience is often behind a paywall. Whether it’s gaming applications or budget applications that maintain hidden subscription tiers, what was once free can easily drain your finances.
Some actually compel you to associate a method of payment at registration, and that constitutes the surprise renewal potential. If you actually use applications that tie into your financials, make sure that they are built upon secure technology like 3D Secure authentication, that other level of protection actually confirms your purchases and reduces the chance that you are going to be billed for something that you truly have no desire to acquire.
Healthcare “Freebies” That Add Up
Free health screenings, free wellness examination, or free consultation sometimes hide other services that you didn’t know that you enrolled for.
It is quite common for patients to enjoy an offer and, later, find that the test or follow-up visit charges are very high. Do not hesitate to ask questions before using any healthcare “free” service, and don’t shy away from requesting a list of possible charges at the onset. Transparency is your best defence.
Retail Sales With a Twist
Stores offer gifts with purchase or free loyalty cards. While it would appear to be a perk, those gifts actually often require you to purchase more than you would have, or slyly convince you into sharing personal information that’s subsequently sold for advertising.
That “free” tote or device isn’t that free when it gets you into purchasing an extra $50 of merchandise that you would not have. The best defence against this? Step back and ask yourself whether or not you would’ve purchased it due to the offer.
Protecting Yourself against Hidden Fees
Being careful of surprise charges has nothing to do with suspicion and everything to do with thought. Always read the fine print, ask questions for clarification, and remind yourself of subscriptions and renewal dates.
Pay attention to points of sale, online and in-store, and don’t hesitate to pass up a deal if something doesn’t feel quite right. Businesses rely on people hurrying through and skimming over the fine print; slow and steady is the best defence.
Awareness
Invisible fees might not look like much on a piece of paper, yet added up over a long period of time, they add up to a fortune. A buck or two here, an invisible renewal there, these fees drain hundreds, even thousands, within a matter of a year.
The “free” promise always sounds attractive. Once you’re aware of the trap, however, you’ll be the one making intelligent choices and not covering the cost for smart marketing ploys.