How To Avoid The Technology Debt Trap

How To Avoid The Technology Debt Trap

14 May 2018

Technology products – smartphones, tablets, entertainment systems, home hubs, and other electricals – are an intrinsic part of our modern lives. Many of us have embraced new innovations and electronic products that help us communicate with each other, entertain and make our lives easier.

It’s not just us either. Every member of the family needs some level of technology, whether it’s to do their homework or keep in contact when out and about.

But we can’t ignore the fact that technology doesn’t come cheap. While prices have come down dramatically in the last few decades for all sorts of home electronics, they’re still an additional cost that’s not normally included in the household budget. Many of us wait until Christmas and birthdays to splash out on the latest tech, but sometimes we need to find the cash at other times of year.

If your PC or laptop breaks down and can’t be fixed, you might have no alternative but to replace it. Similarly, managing without a TV or gaming console is really hard when it’s an important part of how you relax and spend you leisure time. Electronic products are in virtually every room of your house: from the fridge, microwave and kettle in the kitchen, to the vacuum cleaner under the stairs and the hair dryer in your bedroom. Some of these products are pretty essential to our daily lives.

Managing Debt And Paying For New Technology

Many of us have some level of debt. Whether it’s an overdraft, credit cards or a bank loan, the average person in the UK now owes £8,000 (not including mortgages). Therefore balancing the cost of purchasing new electronic products, against existing debt and your monthly salary can be really hard.

Fortunately, there are ways to bring the price of home electronics down. Of course, we don’t advocate incurring more debt to purchase non-essentials but we do understand how important some technology products are to our daily lives. Here are a few ways to get hold of more affordable tech:

Second hand electronics

Ssh! Don’t tell the children that it’s second hand but there are lots of nearly new electronics available on websites like eBay, Facebook Marketplace, Gumtree etc. With manufacturers bringing out new product updates every few months, when people upgrade they list their older product on the marketplace.

Also check out freecycle.org for all kinds of second hand, unwanted products. While you may have to wait for the right things to become available, they’re free.

Price comparison sites

If you want to buy new electronics, it pays to shop around. The best place to start is on price comparison sites where you can find the cheapest deals on the products you’re interested in. When using these sites make sure you factor in additional costs such as shipping. You may find that some retailers undercut others but then make up the difference with very high delivery charges.

MoneySavingExpert.com have developed their own ‘Mega Shop Bot’ to help you find the best deals using different price comparison tools – try it out here.

Discount vouchers and codes

Voucher sites like Groupon are also worth a look. If you’re not searching for a specific model, you may find a bargain. Alternatively, discount codes for major retailers and brands can result in money off at the check out, so before making a purchase see if websites like VoucherCodes or VoucherCloud have any valid deals.

Wait for the sales

If you don’t have to buy immediately, waiting for the Black Friday, Cyber Monday and Boxing Day sales. These can be a good way to buy home electronics, particularly stock that is due to be replaced with new versions or is being discontinued. Before you buy, make sure that it is covered by a warranty and that parts will continue to be available in the event of a future repair.

Check your employee benefits

Many organisations offer their staff employee benefits like home electronics salary sacrifice schemes. This can be a more affordable way of equipping your home and family with the devices and electronics you need. These schemes spread the cost of technology products through salary reductions over 12, 24, or 36 months. You can find out if your employer offers a home electronics scheme here.

‘Must have’ technology products can put our finances under strain but with the tips above you can reduce the costs and make them more manageable.

If your employer uses the Vivup portal you will find all their currently available schemes in one place. Login or sign up today to find out more.

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