As women, we often accept the first offer without question. Women, by nature, are far less likely than men to negotiate. We don’t like the hassle, the time, and the possible rejection if we try to bargain. What can be negotiated? Salary, benefits, mortgage terms, loan interest, bank fees, and credit cards fees can all be negotiated.
The mistakes that women make regarding negotiation include:
1. Not Being Prepared. Many women don’t do their homework ahead of time to find out competitive rates on what else is being offered in the current financial marketplace so aren’t prepared to negotiate.
2. Not Looking At The Long-Term Picture. Many women look at their current picture, such as can they afford the car payment or mortgage payment in their current budget? But what if the future should change and they lose their job or their financial situation suddenly changes? Negotiating for a lower payment now can save thousands of dollars in the future.
3. Not Expecting Anything To Change. Many women think that rates and fees are set in stone so there’s no reason to try to settle for anything else. That’s not true – everything is negotiable.
The solution for learning how to negotiate includes:
1. Do Your Homework. Be informed and well prepared. Research the current market and rates, terms, etc. to know what you’re asking for. When the other person states the rate or terms, be prepared to calmly come back with competitive rate information.
2. React Initially. When you’re told what the rates, terms, or numbers are, show that you’re uncomfortable and that this is unacceptable to you. This opens the door to further negotiation. Be respectful of other person, but give your reasons why this is unacceptable.
3. Develop Confidence By Practice. Bargain with supervisors, store managers, car sales people and service people for discounts, free delivery, and the reduction or elimination of fees. If this is difficult, start small and practice negotiating on the small items.
Remember – Negotiation skills can be learned. You can save quite a bit of money over a lifetime by learning to negotiate now.
TAMPA BAY MONEY TIPS are published to provide practical personal financial tips relating to budgeting, saving, spending, debt, credit, financial wellness, planning for the future, and other personal finance topics. Linda A. Stortz, CPA, P.A. is a local CPA firm located in the Tampa Bay, Florida area and is dedicated to educating individuals to take control of their personal finances and financial future. Services provided include confidential personal financial coaching, counseling, mentoring, and also financial education through financial literacy and wellness seminars. Linda A. Stortz is a CPA. Accredited Financial Counselor, and Certified Identity Theft Risk Management Specialist. For more information, please e-mail Linda at Linda@LStortzCPA.com.
About these ads