There are plenty of ways to spend money, and some of them are more enjoyable than others. Some relate to expenses we can’t avoid – a cracked windshield, in your car, a new furnace for your home or shovels to clear the snow in the winter.
Related: How I Multiplied My Savings
There are some things, though, that I refuse to pay for.
Here’s a list of a few things I happily avoid paying for.
When we bought our house, we were offered the chance to purchase mortgage insurance from a bank representative.
We opted to pursue term life insurance instead as it offered more broad protection in the event of a death or major illness.
I’ve done some basic research into mortgage insurance and it wasn’t a good fit for us. The monthly premiums stay the same even if we were to rapidly pay down the mortgage (this benefits the bank – not us).
Related: How to Reduce Your Mortgage Penalty
Also, we were only given a couple days to review the coverage. We are not legal experts and couldn’t possibly have a good understanding of 40 pages of legal jargon in two days – so we almost felt pressured by it.
Oh, and an investigation by CBC Marketplace a couple years ago showed how people were refused coverage for situations they thought they would be covered for.
The concept seemed reasonable but in reality it seemed shady so we declined mortgage insurance.
The main reason I refuse to pay for bottled water is how it is basically the same as tap water.
Studies have shown that bottled water is not much different than tap water in terms of quality.
But consumers continue to think it’s different, which is why it sells well and has an estimated markup of over 1000%.
The only time I tend to buy bottled water is when travelling – if I’m in a country that may not have clean tap water or while on the go with no access to tap water.
Otherwise – I’m perfectly content to drink tap water. I do have a Brita filter at home that keeps water cool in the fridge, but it’s significantly cheaper than buying bottled water.
With all the costs associated with a vehicle, you can definitely add parking to the list that people like to complain about.
In my city, parking rates are some of the highest in North America with monthly parking spots (in a prime location downtown) fetching nearly $550 per month.
We cut down on our vehicle costs by only owning one vehicle and sharing it when we need to. I take public transit to/from work so I don’t have to worry about paying for an expensive parking spot.
Tire shops regularly advertise that they offer the storage of winter/summer tires for those who have two sets but don’t have the room to store them.
We have one vehicle with two sets of tires (all-season tires & winter) so when one set isn’t in use I simply store them in the garage. If I didn’t have room in the garage, I’d probably find room in the basement.
Either way – tire storage is not something I’m willing to pay for.
I also don’t pay for tire changing. Both sets of tires have their own rims so when the seasons change and it’s time to switch tires, I simply change them myself. It takes me less than one hour and saves around $50.
Prepaid Visa Gift Cards
I’m a big fan of gift cards but I refuse to pay for the right to purchase one.
Visa sells prepaid gift cards at grocery stores, major retailers and gas stations. Depending on the value of the card, the fee to activate one can range from $3-7.
A couple of major shopping malls in my area also charge a fee for activating a gift card. When I asked a customer service rep about the charge, they said it helps pay for the cards themselves.
I’m willing to bet a plastic gift card is not worth the $3 fee they are charging, so at least part of the charge has to be a cash grab.
I like giving and receiving gift cards – but I’m not willing to pay an extra fee for it.
Conclusion: some luxuries like satellite radio, the occasional dinner at a restaurant and buying organic foods are (in my opinion) well worth it. Others like prepaid Visa gift cards, paying to store tires, bottled water and mortgage life insurance just aren’t worth it – and I refuse to pay.
What are some things you refuse to pay for?