I”ve read quite a bit about the pitfalls of monthly charges from your bank account from various services over at Getrichslowly and I thought it worthwhile to discuss the possible benefits and pitfalls associated with these costs.
Pros:
For me, I”m only willing to take on a monthly fee if it means a valid substitute for something I would spend the money on otherwise. I get a heck of a lot more entertainment from my Netflix subscription than I would going to the movies once a month, and going to the movies would actually cost more. I have Gamefly so I can play games that I know I would play through once and toss, and substitutes buying a new console game once every 3 months. Your views may differ greatly from mine if you don”t like watching movies or don”t particularly enjoy video games, but you get the idea. In this way the cost of these services is well worth it because they are better substitutes than their more expensive counterparts (Going to the movies or buying console games).
Cons:
There are obvious drawbacks to any automatic deductions from your bank accounts. If you don”t keep a proper buffer and accidentally withdraw too much and the monthly fee comes through unexpected, you might get hit with an overdraft fee. Also the cost of these services do add up over a given year. A World of Warcraft account for example will cost you around 180$ a year. Sure it”s not going to bankrupt you, but it is something to consider. Examine how often you take advantage if the services you are paying for and break it down into an hourly basis. Even a casual player may still find Warcraft valuable if it substitutes for a service/product that would be more expensive on a per month basis (such as buying a console game that has much less replay value).
In the end you”ll have to examine your own situation and decide what is best for you. I shy away from digital cable packages because I watch maybe 2 hours of TV per month, I simply don”t have much interest. Take a look at what service you are paying for monthly, evaluate its worth and if it appears to be nothing more than a leech on your bank account with no redeeming values, put it on the chopping block.
-Xias