Ditching Your Home Internet Equipment Rental Could Save You $180 Per Year

Is your home internet bill too expensive? Here's help.

When was the last time that you looked at your home internet bill? You may be paying more than you realize. In addition to regular service charges, many customers pay extra fees, and one common one is an equipment rental fee. Unless you have your own equipment, most internet service providers charge a monthly rental fee to borrow their equipment. These fees can add up quickly. If you're willing to buy equipment, you could save a big chunk of cash.

Home internet equipment rental fees can be expensive

You'll need to have proper equipment to connect to the internet at home. Unless you purchased equipment yourself or bought a device from your internet provider, you're likely paying a monthly fee to use their device. Some people may not realize they're paying this fee because they don't look closely at their bill.

How much is the typical equipment rental fee? The costs vary by company, but in most cases, you can expect to pay at least $10 per month if you rent equipment from your internet service provider. Some companies charge rental fees of up to $15 per month. That's a lot of money to spend on something you'll eventually have to return after you're done borrowing it.

How to save up to $180 a year

The good news is you can eliminate this fee. While you'll need to do a little legwork to buy equipment that works with your provider and plan, doing so could save you a lot of money in the long run. Once you return the equipment you've been renting, your service provider will remove the monthly fee for good and the savings will begin.

Ready to make a change? One option is to buy new equipment. You'll pay more for a new device, but this is a good option if you want a particular brand or model. If you're not in a hurry and want to score a deal, waiting for a big sale could help you save.

Another option is to purchase used equipment to keep your upfront costs low. Look online to see if anyone in your community is selling previously used equipment. You'll likely see people looking to get rid of equipment because they've moved or switched internet providers. Buying a used device can save you money and you can ensure one fewer thing ends up in a landfill.

Instead of giving more money to a major corporation, why not get rid of this fee and pay yourself? If your internet service provider charges a $15 per month equipment rental fee, you can save $180 per year by ditching this fee and buying a device. That may not sound like a ton of money, but the savings will add up as you continue to use your equipment.

If you keep your equipment for several years, the savings will add up significantly. Here's a breakdown of the potential savings depending on how long you use your device:

• One-year savings: $180
• Three-year savings: $540
• Five-year savings: $900

Eliminating internet rental fees could free up cash to increase your savings account balance.

Pay attention to fees

Extra fees are not uncommon in today's expensive world. But you may be able to avoid some fees if you're strategic. These extra expenses affect your personal finances, so ensure you sift through your bills and review each charge to know what fees you're paying.