WEBVTT - Yes, You Can Negotiate Your Bills #209 0:00:00.080 --> 0:00:02.599 Welcome to How the Money. I'm Joel and I and Matt, 0:00:02.680 --> 0:00:05.760 and today we're discussing that, Yes, you can negotiate your 0:00:05.760 --> 0:00:27.560 bills afraid, man, that's what we're talking about on this episode. 0:00:27.560 --> 0:00:31.600 We're gonna specifically discuss what bills you should be negotiating, 0:00:32.120 --> 0:00:34.640 and we're gonna talk about how to do it effectively. 0:00:34.720 --> 0:00:37.760 We don't want you spinning your tires, not getting anywhere 0:00:37.800 --> 0:00:40.840 with your negotiation. We want you and whoever you're talking 0:00:40.880 --> 0:00:43.960 with her to leave that conversation feeling good about yourself. Yeah. Man, 0:00:44.000 --> 0:00:47.000 I think a lot of people just forsake negotiation and 0:00:47.080 --> 0:00:49.920 a lot of instances because they don't believe as possible. 0:00:50.120 --> 0:00:52.279 It's just not something that they've thought about very much. 0:00:52.560 --> 0:00:54.400 And so yeah, I think we can talk about which 0:00:54.520 --> 0:00:58.640 bills are worth negotiating, their worth making a call or 0:00:58.840 --> 0:01:01.720 a tweet whatever, maybe giving people a little bit of hope, 0:01:01.720 --> 0:01:04.759 and especially in this time right now, there's there's even 0:01:04.800 --> 0:01:07.840 increased room for negotiating some of your bills, and so 0:01:07.880 --> 0:01:10.000 we'll talk about what that entails as well. Yeah, man, 0:01:10.040 --> 0:01:11.560 But first I wanted to tell you a little story 0:01:11.560 --> 0:01:14.679 about some some jobs and money, specifically how it pertains 0:01:14.680 --> 0:01:16.840 to my kids. You might know that I've tried to, 0:01:17.240 --> 0:01:19.759 you know, implement some systems with our girls to get 0:01:19.800 --> 0:01:21.959 them to kind of work for money. But I've done 0:01:21.959 --> 0:01:26.240 that unsuccessfully. But recently we started a new new little system. 0:01:26.360 --> 0:01:27.959 You and I we live in these old houses that 0:01:28.000 --> 0:01:29.959 are like a hundred years old. We live in these 0:01:29.959 --> 0:01:32.360 old neighborhoods, and dude, I think a hundred years ago, 0:01:32.360 --> 0:01:34.319 folks would just take their garbage and just throw it 0:01:34.319 --> 0:01:37.959 in the backyard. Because there's so much trash that we're 0:01:38.000 --> 0:01:40.840 finding working its way up through the ground. Uh. It's like, 0:01:40.920 --> 0:01:43.440 especially after it rains, like we'll find little bits of 0:01:43.520 --> 0:01:46.559 like antique glass. And this is a problem obviously, because 0:01:46.600 --> 0:01:47.880 we want to be able to hang out in our 0:01:47.880 --> 0:01:49.720 backyard kind of play back. They were thought cutting up 0:01:49.720 --> 0:01:51.400 our feet. And so our new system we call it 0:01:51.480 --> 0:01:54.320 trash Treasures. Well, I like the naming convention already on board. 0:01:54.520 --> 0:01:56.760 And I've explained to the girls that for every piece 0:01:56.920 --> 0:01:59.360 of glass that you bring to me, you get paid 0:01:59.360 --> 0:02:02.200 a nickel. Are you making them more gloves at least? Uh, 0:02:02.200 --> 0:02:06.800 they're very careful. This isn't glass that's like just broken, 0:02:06.920 --> 0:02:09.160 you know, Like there's a difference between like literally, this 0:02:09.200 --> 0:02:11.799 is old antique medicine bottles from a hundred years ago 0:02:11.919 --> 0:02:14.360 and versus like if you break a glass bottle like 0:02:14.400 --> 0:02:16.240 out in the parking lot or something like like I 0:02:16.280 --> 0:02:17.400 know you like to do, so I don't have to 0:02:17.400 --> 0:02:21.200 call de facts correct. So all week they'll they'll pick 0:02:21.280 --> 0:02:22.960 up trash treasures and they'll put them in a little 0:02:22.960 --> 0:02:24.720 container that they each have, all three of them, all 0:02:24.720 --> 0:02:27.079 three the girls have their own little container, and then 0:02:27.120 --> 0:02:29.760 maybe about once a week they can redeem and cash 0:02:29.840 --> 0:02:32.160 in those trash treasures for money, and they get a 0:02:32.240 --> 0:02:34.640 nickel for every piece of glass or for every piece 0:02:34.639 --> 0:02:37.480 of metal, uh, and for everything else like plastic or 0:02:37.520 --> 0:02:40.079 just other weird stuff that they find, they get a penny. 0:02:40.120 --> 0:02:42.440 And do you guess what, they are totally into it. 0:02:42.480 --> 0:02:45.320 They've completely bought into the system. Anytime they're kind of 0:02:45.320 --> 0:02:46.959 out back there keeping an eye on the ground for 0:02:47.000 --> 0:02:49.680 anything that sparkles to find a trash treasure. And this 0:02:49.760 --> 0:02:51.519 is something that's that's really worked for us, and I 0:02:51.560 --> 0:02:53.679 wanted to share this though, because we had a tough 0:02:53.720 --> 0:02:56.920 time getting the girls on board, especially Eavy. She's the oldest, right, 0:02:57.320 --> 0:02:59.880 She's the oldest who can actually understand money, maybe the 0:03:00.160 --> 0:03:02.880 you know the best, but even still we've had a 0:03:02.880 --> 0:03:06.280 difficult time getting her on board with working and kind 0:03:06.280 --> 0:03:08.480 of doing jobs and getting paid for it. She hasn't 0:03:08.520 --> 0:03:11.519 had much interest in it. And it took this new 0:03:11.560 --> 0:03:14.920 system where we could directly tie the work that they're 0:03:14.919 --> 0:03:18.160 doing with the money that they're earning. Is taken making 0:03:18.160 --> 0:03:21.640 that link between those two things as clear and straightforward 0:03:21.680 --> 0:03:24.640 as possible for them to finally realize that, like, oh cool, 0:03:24.760 --> 0:03:27.200 I do this thing and then I get paid for it. 0:03:27.520 --> 0:03:29.320 And so I wanted to share that because I think 0:03:29.600 --> 0:03:31.400 there might be a lot of folks out there who 0:03:31.639 --> 0:03:34.120 are having a tough time getting the ball rolling when 0:03:34.160 --> 0:03:36.600 it comes to figuring out chores or jobs with their 0:03:36.680 --> 0:03:39.240 kids and how to get them on board with earning 0:03:39.280 --> 0:03:41.680 money and even being interested in it. And man, I 0:03:41.680 --> 0:03:45.600 would encourage folks to stick with the most simple system 0:03:45.920 --> 0:03:49.040 that they can think of, where they can directly link 0:03:49.360 --> 0:03:51.960 the work they're doing to the money that they're earning. Yeah. No, 0:03:52.080 --> 0:03:55.600 I love that, And it's starting small, getting somewhere. Getting 0:03:55.600 --> 0:03:58.360 the ball rolling so important, like getting the kids excited 0:03:58.400 --> 0:04:01.040 about doing it. I think sometimes us where we as 0:04:01.040 --> 0:04:04.600 parents fall flat is we make it boring or we're 0:04:04.600 --> 0:04:07.320 trying to teach overcomplicated, right, That's what I tend to 0:04:07.320 --> 0:04:09.680 do is overcomplicate the systems, and I'm like, all right, 0:04:09.720 --> 0:04:11.880 this is here, here the charts, and here the different 0:04:12.000 --> 0:04:14.040 categories and all this. It's like, no, all we need 0:04:14.280 --> 0:04:17.600 is money and trash. Like literally, it just needs to 0:04:17.680 --> 0:04:19.840 be that straightforward for us. Yeah, I agree, And so yeah, 0:04:19.880 --> 0:04:22.480 that's simpler you can make it, especially when kids are young, right, 0:04:22.520 --> 0:04:24.560 that that's when it needs to be at its most simplest, 0:04:24.640 --> 0:04:27.159 and you start to develop a routine around it. You 0:04:27.200 --> 0:04:30.720 start to kind of help them to understand how it works, 0:04:30.800 --> 0:04:33.520 the trade off of work in order to make money. 0:04:33.800 --> 0:04:35.160 And yeah, any way that you can kind of get 0:04:35.240 --> 0:04:37.799 them started young doing that. I love it. But maybe 0:04:37.839 --> 0:04:40.320 maybe get them some gloves just to get they do. 0:04:40.560 --> 0:04:42.480 What's funny is they do each have a little nail, 0:04:42.640 --> 0:04:45.320 like a new nails does not rest or anything, and 0:04:45.320 --> 0:04:47.520 they'll use that to kind of like dig up right. Yeah, 0:04:48.080 --> 0:04:51.040 so they're almost like little archaeologists, little tools, you know, 0:04:51.040 --> 0:04:54.440 where they're kind of excavating pieces of the past. That's awesome. 0:04:54.480 --> 0:04:56.560 That's awesome. Yeah, I love it, And hopefully that's an 0:04:56.600 --> 0:04:58.560 encouragement to other people out there who are trying to 0:04:58.560 --> 0:05:01.120 figure out how they can teach their kids to to 0:05:01.200 --> 0:05:03.520 do some stuff around the house that that helps out 0:05:03.600 --> 0:05:06.359 and also teaches their kids about how they go about 0:05:06.360 --> 0:05:08.360 earning money. And now's a good time to start. Now's 0:05:08.400 --> 0:05:10.200 as good of a time as any. All Right, Matt, 0:05:10.279 --> 0:05:12.279 let's mention the beer that we're having on the show today. 0:05:12.360 --> 0:05:14.840 Today we're drinking a beer called Tampa Time Share. It's 0:05:14.839 --> 0:05:17.839 a great fruit basil goza by Wrecking Bar brew Pub, 0:05:17.880 --> 0:05:20.400 one of our favorite brewers right down the street. Looking 0:05:20.400 --> 0:05:22.760 forward to having this one on the show today with you, Bud. Yeah. 0:05:22.800 --> 0:05:25.359 A quick reminder, the reason that we have a craft 0:05:25.400 --> 0:05:27.960 beer every episode is because this is a way for 0:05:28.040 --> 0:05:30.599 us that you and I to to show right that 0:05:30.640 --> 0:05:32.800 we're enjoying something now while at the same time being 0:05:32.839 --> 0:05:35.600 responsible and doing long term smart things with our money 0:05:35.600 --> 0:05:37.680 as well, like investing it. When it comes to our 0:05:37.680 --> 0:05:39.960 personal finances, there's always a balance, and this is one 0:05:39.960 --> 0:05:42.440 of the tangible ways that you and I are prioritizing 0:05:42.839 --> 0:05:45.040 the here and now over just the long term, because 0:05:45.040 --> 0:05:47.640 sometimes you can get really nerdy with it and have 0:05:47.800 --> 0:05:51.120 a pretty lackluster, boring life that you don't really enjoy 0:05:51.200 --> 0:05:53.719 living now, But like always, we try to bring some 0:05:54.000 --> 0:05:56.560 balance to that conversation. Yeah, agreed, man, And and yeah, 0:05:56.600 --> 0:05:58.920 this beer, I'm excited to check this one out. Should 0:05:58.960 --> 0:06:01.599 be an interesting common flavors. So all right, Matt, let's 0:06:01.600 --> 0:06:04.560 get onto the subject at hand. We're talking about why, yes, 0:06:04.640 --> 0:06:06.760 you can negotiate your bills. And man, I think it's 0:06:06.800 --> 0:06:09.000 important to talk about what's negotiable and what isn't. I 0:06:09.000 --> 0:06:11.200 know you and I might differ on this, so let's 0:06:11.240 --> 0:06:13.680 let's get there in a second. I think everything in 0:06:13.720 --> 0:06:16.240 life is not negotiable. Right. If we went down the 0:06:16.240 --> 0:06:19.000 path of trying to negotiate everything, well, there's a chance 0:06:19.040 --> 0:06:20.960 you can lose some friends in the process. But there 0:06:20.960 --> 0:06:24.039 are times where or we should be negotiating. I listened 0:06:24.040 --> 0:06:26.760 to a book recently called Gaining Ground Matton is by 0:06:26.760 --> 0:06:29.719 this farmer in Virginia. Excellent book, and he sells grass 0:06:29.720 --> 0:06:33.280 fed beef at local farmers markets. And after you hear 0:06:33.320 --> 0:06:35.479 about all of the work and the difficulty it takes 0:06:35.640 --> 0:06:38.440 in order to raise cattle in a local and sustainable way, 0:06:38.680 --> 0:06:40.960 what you can understand why he might be just a 0:06:41.000 --> 0:06:43.320 bit perturbed when people try to negotiate with him over 0:06:43.360 --> 0:06:45.440 the price, assuming that there should be closer to what 0:06:45.480 --> 0:06:47.720 they would pay in the grocery store. Right, So I 0:06:47.760 --> 0:06:51.600 would say that negotiating with your your local farmer is 0:06:51.640 --> 0:06:53.839 probably not a great way to go because it's not 0:06:53.880 --> 0:06:55.960 like they're making a ton of money on the goods 0:06:55.960 --> 0:06:58.320 that they sell, and oftentimes it takes a lot more 0:06:58.360 --> 0:07:00.720 work to grow the produce right that they're that they're 0:07:00.760 --> 0:07:02.800 turning out. And so while that might be bad for him, 0:07:02.839 --> 0:07:05.000 there are certainly some things in life that we should 0:07:05.000 --> 0:07:07.240 be negotiating, and right now it's even more important for 0:07:07.240 --> 0:07:09.600 some people to be eliminating bills from their lives altogether 0:07:09.640 --> 0:07:12.040 and negotiating some of the rest in order to tighten 0:07:12.120 --> 0:07:14.720 up their budget. Well man, yeah, so, like you alluded to, 0:07:14.960 --> 0:07:17.800 I might think that almost everything is up for negotiation. 0:07:17.800 --> 0:07:20.400 I think there is a lot more that should be 0:07:20.440 --> 0:07:23.280 on the table to, you know, for us to talk about. Uh. 0:07:23.280 --> 0:07:25.320 Then we think it may not mean that you have 0:07:25.440 --> 0:07:28.240 a successful negotiation, right, It may not mean that you 0:07:28.320 --> 0:07:31.600 leave that conversation having to only pay half of maybe 0:07:31.640 --> 0:07:34.080 what they're asking, because like that other person, that other 0:07:34.080 --> 0:07:36.560 party could just say, well, I'm not flexible in the price, 0:07:36.600 --> 0:07:38.400 and that's just the end of the conversation. In that sense, 0:07:38.400 --> 0:07:40.320 I feel like if there's no harm, there's no foul, right, 0:07:40.800 --> 0:07:44.080 And I think this is especially true as well if 0:07:44.120 --> 0:07:47.360 you're negotiating before you purchase something, because what you don't 0:07:47.360 --> 0:07:49.840 know is what that other party in this case, like 0:07:49.880 --> 0:07:52.200 the farmer, they might be willing to take way less, 0:07:52.720 --> 0:07:55.160 but you wouldn't know that unless you ask them, right, 0:07:55.200 --> 0:07:58.120 unless you start that conversation. If in one instance, you 0:07:58.160 --> 0:07:59.960 were just gonna just keep on walking because you see 0:08:00.040 --> 0:08:01.560 that grass fed beef and you think, all right, there's 0:08:01.600 --> 0:08:03.440 no m paying twenty dollars a pound for that, But 0:08:03.520 --> 0:08:05.800 that farmer is looking to maybe move some product because 0:08:05.800 --> 0:08:07.320 they need to get some make room for for the 0:08:07.360 --> 0:08:09.400 new stuff, right, Like, he might be willing to accept 0:08:09.520 --> 0:08:13.240 way less, And unless you start that conversation and start 0:08:13.280 --> 0:08:15.960 talking about it, you you would never know. And we 0:08:15.960 --> 0:08:17.720 can even flip that on its head a little bit, like, 0:08:17.760 --> 0:08:21.440 what if you start that conversation and you know the farmer, 0:08:21.760 --> 0:08:24.080 Let's say she explains to you how much time and 0:08:24.320 --> 0:08:27.360 energy and life that she's poured into her vegetables, right, Well, 0:08:27.360 --> 0:08:28.840 I think then there is a good chance you would 0:08:28.880 --> 0:08:32.320 leave that conversation with a new understanding and appreciation of 0:08:32.400 --> 0:08:35.160 all that went into that product, and you might be 0:08:35.200 --> 0:08:38.680 willing at that point to pay exactly what she's asking for, 0:08:38.800 --> 0:08:41.480 you know, or who knows, maybe even more. But in 0:08:41.520 --> 0:08:44.840 that case, the farmer gains a customer just because they've 0:08:44.880 --> 0:08:47.480 had a chance to kind of sell the product essentially 0:08:47.559 --> 0:08:49.719 and and explain to you kind of all that goes 0:08:49.760 --> 0:08:51.319 into it. You know, like they might have a new 0:08:51.360 --> 0:08:54.800 cs A member for life after they've had that conversation 0:08:54.840 --> 0:08:57.040 where they were able to connect with you. So, when's 0:08:57.040 --> 0:09:00.520 the last time you negotiated at all the all the time? Man, 0:09:00.240 --> 0:09:02.480 I think they always escort me out of the store. 0:09:03.080 --> 0:09:05.600 Oh here comes that crazy Matt dude again. No, but 0:09:05.800 --> 0:09:07.720 I really think that there's something to be said there 0:09:07.960 --> 0:09:10.920 when it comes to just having that conversation with uh, 0:09:10.960 --> 0:09:12.800 you know, with an individual. We talked about this on 0:09:12.840 --> 0:09:14.960 a recent episode, how we talked with our friend who 0:09:14.960 --> 0:09:16.960 did some work for us about negotiating their price a 0:09:16.960 --> 0:09:19.679 little bit. I think the problem lies when you're expecting 0:09:19.679 --> 0:09:21.880 there to be a discount, right, because that kind of 0:09:21.880 --> 0:09:24.840 affects how you approach the conversation. Like I've owned my 0:09:24.840 --> 0:09:27.319 own business for the over over ten years, and I've 0:09:27.360 --> 0:09:30.320 never been annoyed if someone came to me, you know, 0:09:30.320 --> 0:09:32.400 asking for a discount. But you know when it is 0:09:32.440 --> 0:09:35.040 annoying if they expect a discount because of you know, 0:09:35.080 --> 0:09:37.240 they know somebody, if there's some sort of connection there, 0:09:37.360 --> 0:09:39.960 or just for whatever reason they think that, oh, we 0:09:39.960 --> 0:09:42.120 should get a discount. That's when it rubs me the 0:09:42.120 --> 0:09:43.480 wrong way and I kind of don't want to work 0:09:43.520 --> 0:09:46.320 with that person at that point. It's the expectation. So 0:09:46.360 --> 0:09:48.480 you and I might disagree a little bit on this 0:09:48.559 --> 0:09:51.760 because I think there are some some points in time 0:09:51.760 --> 0:09:55.880 we're negotiating and even just asking, even just attempting to 0:09:55.920 --> 0:09:58.040 go there can signal something that that maybe you just 0:09:58.280 --> 0:10:00.000 you don't want to portray. But I think where we 0:10:00.040 --> 0:10:02.679 can't agree is is that there are a lot of 0:10:02.679 --> 0:10:06.479 places where people don't negotiate that are ripe for negotiation. 0:10:06.480 --> 0:10:08.760 And that's really what we're gonna focus on in this episode. Yeah, 0:10:08.760 --> 0:10:10.559 I mean, and when one of the issues a lot 0:10:10.559 --> 0:10:13.199 of times in those situations is we oftentimes don't know 0:10:13.320 --> 0:10:15.480 where to start. So one of the obvious problems that 0:10:15.480 --> 0:10:17.760 we're going to address today is knowing how to go 0:10:17.800 --> 0:10:21.080 about the process of negotiating, what strategies to use, what 0:10:21.120 --> 0:10:23.880 steps to take in order to make the biggest impact. 0:10:24.000 --> 0:10:25.520 You know, there's very little point of going through all 0:10:25.559 --> 0:10:29.440 the motions if nothing actually changes. And you know, also 0:10:29.440 --> 0:10:32.040 our financial lives are pretty complex, you know, at least 0:10:32.080 --> 0:10:35.320 mine are. I tend to over complicate things, um with 0:10:35.400 --> 0:10:37.840 lots of different bills showing up in the mail and 0:10:37.880 --> 0:10:40.520 in our inboxes. And so we're gonna address not only 0:10:40.559 --> 0:10:44.080 how to negotiate, but also who to negotiate with in 0:10:44.160 --> 0:10:45.920 order to make it worth our time. Yeah, knowing where 0:10:45.960 --> 0:10:49.280 negotiation is expected and where it's not is important. On 0:10:49.320 --> 0:10:50.880 the flip side of that local farmer that we just 0:10:50.880 --> 0:10:53.240 talked about, Matt, think about a flea market, right Haggling 0:10:53.360 --> 0:10:56.560 is expected there and right now, know that more and 0:10:56.600 --> 0:11:00.000 more financial companies are experiencing calls where customers are attempt 0:11:00.000 --> 0:11:02.959 seem to negotiate their rate, are hoping to have payments postponed. 0:11:03.160 --> 0:11:05.360 There are certain bills that that you shouldn't even consider 0:11:05.400 --> 0:11:08.000 negotiating right now unless you really need the help though. 0:11:08.160 --> 0:11:10.320 For example, don't call your mortgage company and ask for 0:11:10.320 --> 0:11:14.040 forbearance if you haven't actually experienced any negative impact from COVID. 0:11:14.480 --> 0:11:16.960 I would say that's uncouth, that's not a good negotiation 0:11:16.960 --> 0:11:19.800 you should take part in, and they'll likely want proof 0:11:19.960 --> 0:11:22.679 that you need this help anyway. So what bill should 0:11:22.679 --> 0:11:25.200 you be negotiating? Well, Matt, let's get to some of 0:11:25.200 --> 0:11:27.199 those and then we'll talk about how to go about 0:11:27.200 --> 0:11:38.199 it right after the break. All right, man, we're back 0:11:38.240 --> 0:11:40.520 from the break, and let's dive into some of the 0:11:40.559 --> 0:11:44.760 different bills that we should be negotiating. Before you know, 0:11:44.800 --> 0:11:47.880 you started negotiating with companies individually, it's important to look 0:11:47.920 --> 0:11:49.800 and see if they already have a policy in place 0:11:50.040 --> 0:11:52.959 that you can take part of. So, for example, at 0:11:53.000 --> 0:11:55.960 this point in time, there are over twenty private student 0:11:56.000 --> 0:11:59.600 loan lenders who have created a compact with ten different 0:11:59.600 --> 0:12:03.120 states to provide ninety days worth of forbearance. So if 0:12:03.160 --> 0:12:05.600 you live in one of these states, there is no 0:12:05.720 --> 0:12:08.000 negotiation needed as you can take part of this pre 0:12:08.120 --> 0:12:11.440 arranged agreement. If you live in another state, you know, 0:12:11.520 --> 0:12:13.400 you can ask if they would be willing to extend 0:12:13.400 --> 0:12:15.680 the same policy to you as well. You can essentially 0:12:15.800 --> 0:12:18.079 take that framework and borrow it and see if that 0:12:18.080 --> 0:12:20.240 would be something that they would be willing to honor. Yeah, 0:12:20.240 --> 0:12:23.079 no negotiation necessary, But that doesn't mean that you automatically 0:12:23.080 --> 0:12:25.680 receive this forbearance on private student loans like you will 0:12:25.800 --> 0:12:28.160 right now with federal student loans. Mount We've talked about 0:12:28.200 --> 0:12:30.920 this on the show. Most federal student loans right now 0:12:31.040 --> 0:12:34.439 qualify for a six month deferment. You're not accruing any 0:12:34.480 --> 0:12:36.480 sort of interest on those loans, and you're also don't 0:12:36.520 --> 0:12:38.520 have to pay for six months, and it's automatic, which 0:12:38.559 --> 0:12:41.679 is great. But with private student loans, it's not the same. 0:12:41.960 --> 0:12:43.800 There are some proactive steps you need to take in 0:12:43.920 --> 0:12:46.480 order to put your private student loans on hold for 0:12:46.559 --> 0:12:48.720 these three months. Looks at the how two of that 0:12:48.760 --> 0:12:50.960 stuff later on in this episode, but it's important to note. 0:12:51.200 --> 0:12:53.199 I love that you said too that if you don't 0:12:53.320 --> 0:12:56.200 live in one of those ten states that has disagreement, 0:12:56.480 --> 0:12:59.600 you know what, that is an opportunity for you to say, 0:12:59.600 --> 0:13:02.640 you know what, student loan servicing company, you have this 0:13:02.720 --> 0:13:04.520 agreement with these other tense states. I don't live in 0:13:04.520 --> 0:13:06.680 one of those states? Can you still honor that agreement 0:13:06.720 --> 0:13:08.839 for me? I think that's a great question. That's kind 0:13:08.880 --> 0:13:11.199 of one of those little pieces of negotiation that you 0:13:11.240 --> 0:13:14.240 could implement if you're not grafted in essentially to this 0:13:14.400 --> 0:13:16.640 plan that's been developed with with a bunch of states, 0:13:16.840 --> 0:13:18.400 I mean, and a quick point of clarification, let's go 0:13:18.400 --> 0:13:21.400 ahead and kind of define deferments. Uh, And that typically 0:13:21.480 --> 0:13:24.280 means being able to stop paying uh, you know, a 0:13:24.280 --> 0:13:28.080 monthly bill for a set period of time without accruing interest, 0:13:28.440 --> 0:13:31.480 or as a forbearance is skipping out on those payments, 0:13:31.679 --> 0:13:34.240 but during that period of time it is accruing interest. 0:13:34.360 --> 0:13:37.120 So deferment is a little bit better than a forbearance, 0:13:37.200 --> 0:13:39.920 but both are nice. Yeah, alright, So let's talk about 0:13:39.920 --> 0:13:42.880 two other things that can be negotiated, Matt. One that 0:13:42.960 --> 0:13:46.600 I think people also really rarely consider is negotiating the 0:13:46.600 --> 0:13:49.000 amount here paying for rent. Right, I getta say, I 0:13:49.040 --> 0:13:50.560 hope none of my tenants are listening to this show 0:13:50.640 --> 0:13:53.000 right now, But you totally can negotiate rent. And I've 0:13:53.040 --> 0:13:54.719 had tenants to do this in the past, and I've 0:13:54.760 --> 0:13:56.560 totally come to an agreement with them, and I actually 0:13:56.720 --> 0:14:01.320 respected and appreciated their willingness to partake negotiating with me. Yeah, 0:14:01.440 --> 0:14:03.800 you appreciate them starting that conversation and talking to you 0:14:03.840 --> 0:14:06.560 about it. Right, you were defended, you were put off. 0:14:06.600 --> 0:14:08.560 I was not. I was not, but I'm also not 0:14:08.600 --> 0:14:11.520 selling grass fed beef. But maybe maybe I will that now. 0:14:11.559 --> 0:14:13.480 I just probably eat it all. But um. But yeah, 0:14:13.559 --> 0:14:15.880 especially in our current environment, I think that there's an 0:14:15.880 --> 0:14:19.960 increased ability for tenants to negotiate their rent. Right. In particular, 0:14:19.960 --> 0:14:21.680 if you've been a great tenant that takes care of 0:14:21.720 --> 0:14:24.600 the place, you pay on time, asking for a discount 0:14:24.920 --> 0:14:26.920 makes sense to me. You can even sweeten the pot 0:14:26.920 --> 0:14:30.120 by signing a longer lease term, and I think this 0:14:30.200 --> 0:14:33.600 makes the landlord more likely to agree awesent times in negotiations, 0:14:33.840 --> 0:14:36.200 there is a give and a take, right, and this 0:14:36.280 --> 0:14:39.600 is a particular example where you can say, listen, i 0:14:39.600 --> 0:14:41.400 want to pay a little bit less in rent, but 0:14:41.440 --> 0:14:44.080 I'm willing to sign a longer term in order to 0:14:44.080 --> 0:14:46.200 make that worthier while. And so yeah, make sure in 0:14:46.240 --> 0:14:49.960 your negotiation strategies, especially if you're talking to a landlord 0:14:50.000 --> 0:14:52.040 about what your rent is going to be, what what 0:14:52.120 --> 0:14:54.280 your monthly payment amount is going to be, make sure 0:14:54.280 --> 0:14:56.200 you're offering them some sort of incentive to make it 0:14:56.200 --> 0:14:58.160 worth their while. But I think if you're doing that, 0:14:58.320 --> 0:15:00.240 you can definitely negotiate your rent. And that's thing that 0:15:00.240 --> 0:15:02.560 people just don't think to do very often. Yeah, and 0:15:02.560 --> 0:15:06.800 real quickly. Your rent amount might be negotiable, but typically 0:15:06.840 --> 0:15:09.480 your mortgage payment is not. However, on previous episodes, we've 0:15:09.520 --> 0:15:13.320 talked about the mortgage forbearance programs that they have set 0:15:13.400 --> 0:15:17.640 up with mortgages that are backed by Fannie May Freddie Mack. Essentially, 0:15:17.640 --> 0:15:20.320 if you have a mortgage that is backed by those 0:15:20.360 --> 0:15:22.960 federal programs, and you're able to prove your need for 0:15:23.000 --> 0:15:25.200 that forbearance program, that could be something that you can 0:15:25.240 --> 0:15:28.720 take part of. Yeah, your monthly mortgage amount not typically 0:15:29.000 --> 0:15:31.000 something that you can negotiate. It's a term that you've 0:15:31.040 --> 0:15:33.560 agreed to over an extended period of time, typically fifteen 0:15:33.640 --> 0:15:35.520 or thirty years. Right, So you can't just call up 0:15:35.520 --> 0:15:38.160 your lender and say I don't want to pay a month, 0:15:38.200 --> 0:15:40.480 I want to pay dollars a month. They're gonna laugh 0:15:40.520 --> 0:15:42.520 at you, right, and they're gonna say you didn't pay 0:15:42.520 --> 0:15:44.600 the full amount, and you're gonna run into some major 0:15:44.680 --> 0:15:46.720 issues there. But right now, when it comes to the 0:15:46.760 --> 0:15:49.880 forbearance that you're being offered, you do have some ground 0:15:49.880 --> 0:15:52.000 to stand on when it comes to negotiation, and especially 0:15:52.160 --> 0:15:55.560 like we talked about Matt. The forbearance that homeowners are 0:15:55.560 --> 0:15:57.560 supposed to receive right now is only for people with 0:15:57.600 --> 0:15:59.800 Fannie and Freddie backed mortgages. But let's say you have 0:15:59.840 --> 0:16:03.200 a mortgage that is not backed by Family or Freddie. Well, 0:16:03.280 --> 0:16:05.200 just like we talked about with those private student loans, 0:16:05.240 --> 0:16:07.960 this is a perfect time to tell your mortgage service 0:16:08.040 --> 0:16:11.080 or hey, look what's being offered to a huge segment 0:16:11.120 --> 0:16:13.960 of the population, to most Americans. I know that my 0:16:14.040 --> 0:16:16.680 mortgage is not backed by Fanni or Freddie, But can 0:16:16.720 --> 0:16:18.760 you still give me the terms that are offered to 0:16:18.880 --> 0:16:21.400 most of these people. Pointing out that that option exists 0:16:21.400 --> 0:16:23.000 for so many other people, I think gives you a 0:16:23.040 --> 0:16:25.000 leg to stand on. It gives you just this perfect 0:16:25.040 --> 0:16:27.480 point of reference that makes it way more likely that 0:16:27.520 --> 0:16:30.360 you're gonna have some sort of success in getting forbearance. 0:16:30.400 --> 0:16:32.840 That can be meaningful and helpful. And if you're wondering 0:16:32.880 --> 0:16:35.120 if you have a mortgage that is backed by Fannie 0:16:35.160 --> 0:16:37.400 or Freddy, we'll put some links in our show notes 0:16:37.480 --> 0:16:39.280 where you can enter in your address and it'll let 0:16:39.280 --> 0:16:42.480 you know instantly whether or not you are automatically eligible 0:16:42.520 --> 0:16:45.280 for that program. Joel. Something else that you can negotiate 0:16:45.560 --> 0:16:48.960 is your credit card. You can ask your credit card 0:16:48.960 --> 0:16:51.920 company for a month of deferment, and you could also 0:16:52.000 --> 0:16:54.960 ask for your annual fee to be waived. Specifically, if 0:16:54.960 --> 0:16:57.480 you have a travel rewards card, you likely aren't using 0:16:57.480 --> 0:16:59.520 it like you were three months ago, so your credit 0:16:59.520 --> 0:17:01.640 card company might just go ahead and wave that fee 0:17:01.800 --> 0:17:03.840 just to keep you using that card and keep you 0:17:03.880 --> 0:17:06.760 from closing that card. Yeah, that involves making a phone call. 0:17:06.920 --> 0:17:09.840 That involves asking, right and and attempting to get some 0:17:09.840 --> 0:17:11.800 of that money back. Right that you would normally spend 0:17:11.800 --> 0:17:13.480 on an annual fee, and you could just close the 0:17:13.480 --> 0:17:15.280 card and be done with it. But as things begin 0:17:15.359 --> 0:17:17.840 to revert to, you know, a little bit more normal, 0:17:17.880 --> 0:17:19.639 who knows how long it will be, you might not 0:17:19.680 --> 0:17:21.679 necessarily want to cut that card out of your life, 0:17:21.760 --> 0:17:24.000 but you can cut the annual fee out of your life. 0:17:24.080 --> 0:17:27.480 That's definitely worth looking into, worth asking about. Man, It's 0:17:27.480 --> 0:17:30.760 important to to note right now that negotiating some bills 0:17:31.080 --> 0:17:33.320 are gonna have negative side effects, So let's talk about 0:17:33.359 --> 0:17:35.879 that too, like a potential hit to your credit score 0:17:35.960 --> 0:17:38.400 for negotiating a bill. So it's important to ask your 0:17:38.480 --> 0:17:42.080 credit card servicer or your mortgage provider if they're going 0:17:42.119 --> 0:17:44.960 to report any changes in standing to the credit bureaus. So, 0:17:45.000 --> 0:17:47.560 for example, if you negotiate a settlement with the credit 0:17:47.560 --> 0:17:50.760 card company, right, and this is not about eliminating a 0:17:50.760 --> 0:17:53.639 an annual fee, that should not have any negative impact 0:17:53.680 --> 0:17:55.320 on your credit score. But let's say you owe them 0:17:55.359 --> 0:17:57.920 five thousand dollars and you called them up and you say, hey, listen, 0:17:57.920 --> 0:18:01.560 I've only got will you take this and and consider 0:18:01.840 --> 0:18:04.520