3 Things You Can Save Money on Right Now

 When you're trying to save money, every penny counts, but some people take their money saving behavior a bit too far. It isn't realistic for a foodie who loves to try new and exotic dishes to completely stop going out to eat overnight. Nor is it a good idea for somebody who is drowning in credit card and loan debt to take on more interest so that they can have a lower monthly payment. People like Jeremy Marcus didn't get to where they are now by following poor spending habits. You need to start somewhere when trying to save money, but you don't have to cut out the essentials or things that make you happy. Here are three big things that you can cut back on:

Name brand products

Did you just pay $5 for a bottle of shower gel? Do you spend $7 on name brand detergent? There are some products that you can't live without, but luckily there's no reason to spend a fortune every time you go shopping. Usually, the only difference between name brand products and generic ones is the packaging they come in. Buying generic doesn't just begin and end at the grocery store; it can also help save you money at the pharmacy. The vast majority of name brand medications for diabetes, allergies, and other common conditions have a much cheaper generic counterpart. Talk to your doctor about switching to generic medication, and you'll be surprised at how much you'll save!

Transportation

The vast majority of you reading this are already thinking about how terrible the public transit system in your town is. Most people rely on their personal vehicles to get around, and switching to public transportation often isn't a practical option. Dealing with an unreliable bus and train schedule isn't easy, but carpooling is. Talk to a co-worker about a carpool schedule. You'll save a surprising amount of money on gas and car maintenance.

Your cable, Internet, and cell phone

One of the first things people phase out when they need to save money is their cable. To an extent, cable is a "luxury," but you don't have to give it up completely when trying to save money. Your service provider has a lot of customers, and it's much easier to keep the current ones than to find new ones. Many service providers are willing to jump through hoops to keep their customers happy. Simply give them a call and say the magic words, "I'm considering switching to another provider." You'll start getting offers for lower monthly bills, and even new services that are free of charge.

Could a Reverse Mortgage Help You?

If you're seeking a solution for managing your finances, you may be interested in taking advantage of a reverse mortgage (may being the operative word here). A reverse mortgage is in many ways exactly what it sounds like: a mortgage that works in reverse. More specifically, individuals with a reverse mortgage don't make monthly payments on their home as they would with a traditional mortgage; rather, individuals receive money by converting their home equity into cash. A pretty good deal, wouldn't you say?

Of course, not every homeowner can be eligible for a reverse mortgage. You must be at least 62 years of age, your home must be your primary residence, your mortgage must be paid in full, and your home must have accumulated wealth since your original purchase. In other words, if your home has depreciated in value over the course of your ownership, you likely won't be eligible for a reverse mortgage. However, if over the years you've added an in-ground pool, built a barn, remodeled your kitchen, or added a sun room, your home has likely increased in value, and it's this equity that can be used to your advantage. Reverse mortgages are intended to afford individuals with minimal income the opportunity to cover basic costs of living and pay for medical expenses. Recipients of a reverse mortgage do not have to repay their loan unless their home is sold or abandoned; in most cases, this means that recipients live out the rest of their lives without repayment.

As 321 financial expert Jeremy Marcus points out, there are different types of reverse mortgages. Those eligible can apply for Single-Purpose Reverse Mortgages, which are available through state, local and nonprofit organizations and are usually the most inexpensive types of mortgages. Homeowners can also apply for a Home Equity Conversion Mortgage, which is backed by the U.S. Department of Housing and Urban Development and which doesn't have any income requirements for eligibility. These types of reverse mortgages are also more widely-available, but typically have higher upfront costs. Additionally, money from these mortgage payments can be used for any purpose. There are also Proprietary Reverse Mortgages, which are available through private lenders and which can guarantee 100% equity on your home, unlike Home Equity Conversion Mortgages.

Eligible homeowners will need to decide for themselves which type of reverse mortgage makes the most sense for their needs. Many experts recommend that homeowners only take out reverse mortgages if they still intend on staying in their home for a significant amount of time, and reverse mortgages are never recommended for those who wish to will their homes to family members upon their death. Reverse mortgages aren't for everybody, but they can be incredible opportunities for financial security for those that are eligible.