Money Guy Show Summary

Episode: $200 a Month with a Few Phone Calls
Date: March 3, 2008
Host: Brian Preston

Episode Overview

In this episode, Brian Preston breaks down practical tactics for saving up to $200 a month on recurring expenses with just a few proactive phone calls. He highlights how easy it is to let providers take you for granted, resulting in higher bills—unless you step up, shop around, and negotiate. The show encourages listeners to reclaim their hard-earned money and redirect those savings toward wealth building.

Key Discussion Points & Insights

1. The Problem of "Ungrateful Providers"

[01:45 – 04:30]

• Providers (utilities, insurance, etc.) often take loyal customers for granted, quietly raising prices over time if customers don’t push back.
• Brian shares a personal story about unexpectedly high natural gas bills and realizing he might be getting overcharged.

Quote:
A lot of these industries are set up that if you just sit back and you're lazy and don't keep on top of your provider, they'll take advantage of you… before you know it, you're overpaying for the service you're receiving. And it's that simple.
— Brian Preston, [02:48]

2. How to Instantly Compare Utility Rates

[04:31 – 09:35]

• Brian used connectutilities.com to compare natural gas providers and discovered he was overpaying by $0.30/therm—or about $65 each month.
• The site allows users to compare providers for gas, phone, internet, and cable, revealing where you're being overcharged.
• Even if the best deals are for new customers, you can leverage this info with your existing provider.

Quote:
What I found out was… I was being overcharged about $65 a month. So as you can imagine, I quickly switched my Service and there's $65 just found.
— Brian Preston, [06:45]

3. Negotiate Like a New Customer

[09:36 – 11:10]

• Brian advises using competitor quotes to negotiate better rates with your current provider.
• Providers want to retain customers with minimal effort, often matching offers for new customers if directly asked.

Quote:
If you call that customer service agent, tell them you’re concerned that they're offering better prices to brand new customers… Watch how quickly they will match the prices that they are giving to new customers.
— Brian Preston, [08:54]

4. Insurance: Don’t Pay the Loyalty Penalty

[11:11 – 13:05]

• Insurance premiums—homeowners, auto, and others—tend to creep up annually.
• Every three years: Re-shop your insurance. Use online tools like insurer.com and compare rates, even if it means calling your current agent to keep them honest.

Quote:
Every year there's a slight price increase and then what happens is you have to pretty much every three years do a price reset… go do comparisons to make sure that you’re not being taken for granted.
— Brian Preston, [11:44]

5. Raise Your Insurance Deductibles with Confidence

[13:06 – 14:23]

• Most people carry low deductibles (e.g., $250) but won’t claim small incidents due to the risk of higher premiums.
• Brian urges raising auto deductibles to $1,000—if you have emergency savings—leading to significant premium reductions.

Quote:
If you've got that fear of using your insurance… then what I would do is go ahead and immediately, assuming you have some cash reserves out there, push that deductible up to $1,000.
— Brian Preston, [13:28]

6. How to Use Your Savings

[14:24 – 14:52]

• Redirect the $200/month (or whatever you save) into tax-advantaged retirement accounts like a Roth IRA or boosting your overall investment contributions.

7. Mortgage Rate Updates & Refinance Tips

[14:53 – 16:37]

• Recap of recent mortgage rate fluctuations: Fixed rates recently dipped, jumped, and are now beginning to fall again.
• Advice for locking in a mortgage rate: set a target, don’t get greedy, and act when your goal is met.
• Consider refinancing only if the savings (e.g., 3/8% - 1/2% lower) justify closing costs and the amortization reset; don’t pay unnecessary discount points on refinances.

Quote:
Don’t get cute if it comes down to that point. Lock yourself in. If you’re in one of these crazy adjustable rates but you know you’re going to be in the house for an extended period… take advantage of what's going on out there.
— Brian Preston, [15:56]

Notable Quotes & Memorable Moments

• "You really can find $200 a month. And that's an amazing, amazing thing."
  — Brian Preston, [14:12]

• "An educated consumer is always going to be the best consumer."
  — Brian Preston, [11:01]

• "Use it as an opportunity to go fund that Roth IRA, go fund those retirement savings so that you can have the good life that you deserve."
  — Brian Preston, [16:26]

Actionable Takeaways

• Review recurring bills (utilities, insurance, subscriptions) at least annually.
• Use comparison tools to expose better rates and leverage them in negotiations—even as an existing customer.
• Raise your insurance deductibles after considering your risk tolerance and emergency fund.
• Monitor mortgage rates and refinance when the math works in your favor, but avoid excessive closing costs or discount points on refis.
• Channel all savings directly into wealth-building strategies—not new spending.

Useful Timestamps

• [01:45] – Ungrateful Providers Concept
• [04:31] – Using connectutilities.com & Brian’s Savings Example
• [08:54] – Negotiating as Existing Customer
• [11:44] – Rethinking Insurance & Loyalty Penalties
• [13:28] – Raising Your Deductibles
• [14:24] – What to Do With the Savings
• [14:53] – Mortgage Rate Movements and Refinance Guidance

Tone:
Friendly, candid, story-driven. Brian’s perspective is practical and empowering, urging listeners to be active with their finances and never settle for mediocre deals.