Martin Lewis sent an important message to people who use streaming services like Netflix, Amazon Prime, and Disney Plus.
The money-saving expert warned those doing free or paid trails to cancel their subscription if they no longer use the service.
Speaking to Radio 5 Live last month, he said, “A lot of people, I have to say, say they know they shouldn’t have them and they don’t watch that much, but they don’t cancel.
“That’s exactly what is going on here. People forget to cancel their subscription for a month or two. Of course, some people love it and think it’s worth it. But that adds to the bottom line in the short term.”
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Martin continued, “There’s a more powerful psychology in the game and I call that the ‘Inertia Dividend.’ It’s because we humans are naturally inclined to be reluctant to lose something we have.
“There are a lot of people who wouldn’t sign up for a movie service that they don’t really need if they had to pay for it, but they would do it for a free trial.
“They go in to abort it when their process ends, but by this point they are already used to it and getting rid of it means it’s a loss. And we as humans don’t like loss.”
He added, “I mean [it’s the same with] the gym membership that people keep in normal times when they aren’t using it because they value the opportunity to hit the gym even when they don’t actually get to it. “
The financial journalist concluded by saying what to do if they feel like they are paying for services they don’t need.
He explained, “So we have to be clinical and recognize our own emotional biases.”
Martin added, “It’s important that you try to reset your mindset to when you first signed up for the product. When you know what you know by now, ask yourself, ‘If I don’t would I pay for it? ‘ And if the answer to that is no, then be clinical and drop it. “