Negotiating with credit card companies, negotiating a higher salary and negotiating debts can all assist you in your saving wise strategy.
As with most things in life, negotiating is a skill that needs to be developed and enhanced, so that you can maximize your bottom line by negotiating a deal that is equitable and fair.
Yes, you want to negotiate a contract so that ultimately you save more money - but you also want to maintain a credible and honest reputation.
Here's how to make the most of your negotiating skills ... time and again.
Start with the end in mind - have a definite goal and know what you realistically hope to achieve.
It is worth keeping in mind, yet again, that you need to leave the negotiating table with the desired outcome, but you also need to leave with your credibility and reputation intact.
So, apart from knowing upfront what the you hope to achieve, you should also know what you are prepared to compromise for it; and what is cast in stone and not open to discussion.
Remember that any negotiating, even negotiating for credit counseling debt relief, has an emotional component involved. It may be overt and clearly visible or it may be more subtle and seen through body language and facial expression.
Be prepared, be knowledgeable and negotiate from a position of insight into your own financial affairs.
You need to know exactly where you stand financially so you can negotiate a realistic set of terms.
Once a negotiated contract is signed there is no going back - so get it right the first time:
- complete a bank reconciliation on your account;
- compile a complete list of your debtors and creditors - a good indication of your consumer spending habits;
- list all your credit cards and their respective balances;
- determine you future income as well as any potential extraordinary expenses that are likely to occur;
- summarize all your pension, investment, loan and insurance expenses, as well as your day-to-day expenses;
- don't forget to include the undesirable (but often inevitable overdraft facility).
Now, when you start negotiating, keep in mind that you still need to be flexible - a compromise in one area, may just lead to a gain or a trade-off in another area.
Consider negotiating on:
- what the stipulated interest repayments currently are and what you would like them to realistically be to assist you in paying off your debt.
- negotiate to waiver or lower existing charges, penalty fees and future interest to be charged.
- paying off more money sooner for a substantial discount.
- paying off less money over a longer period (if that is all you can manage) ... at least the customer or client still gets to recoup their money.
- staged payments that will suit your current financial situation.
As with just about every other aspect of life - get your negotiating with credit card companies in writing.
Read the small print of the newly negotiated terms.
Record all current and future transactions.
Make notes of the meeting or request minutes of the meeting.
And finally, when it comes to negotiating with credit card companies or even negotiating home sale or negotiating a higher salary - be disciplined!
Keep your eye on your goal and remain cool, calm and collected.