Internet plans: where you might be wasting money

Internet plans are a staple in Canadian households, but many of us might be spending more than necessary.

Whether it’s paying for speeds we don’t need or being unaware of bundled services we don’t use, it’s essential to evaluate our internet expenses.

By understanding your actual usage and the available options, you can make informed decisions that align with your needs and budget.

Audit your bill

Before making any changes, it’s crucial to understand what you’re currently paying for.

Understand what you’re actually paying for

Many Canadians overpay for internet plans simply because they don’t fully understand what’s included.

Terms like Mbps, which means megabits per second, download speed, and upload speed might sound technical, but they’re important to knowing whether your plan matches your needs, or if you’re being upsold on features you’ll never use.

In simple terms, download speed affects how fast you can stream shows or load web pages, while upload speed is important for tasks like sending large files, video calling, or uploading content.

If you’re not doing heavy-duty online activities, you likely don’t need premium speeds. Comprehending this can help you pick a plan that’s both affordable and efficient.

Review your monthly charges

Examine your bill for any unexpected fees, such as equipment rentals, additional services, or speed enhancements.

These can accumulate over time, leading to higher monthly costs.

Are you using your TV or landline bundle?

If your plan includes TV or landline services, consider whether you actively use them.

Eliminating unused services can lead to significant savings.

Do you need that speed?

Internet speeds vary widely, and higher speeds often come with higher costs in internet plans.

It’s essential to match your plan’s speed with your actual usage.

A 50 Mbps connection is usually sufficient

For households with basic browsing, streaming, and occasional video calls, a 50 Mbps plan typically suffices.

This speed supports multiple devices without noticeable lag.

Match speed to usage

Different activities require varying speeds in internet plans:

• Streaming: you’ll need around 5 Mbps for HD content, and up to 25 Mbps if you watch in 4K;
• Gaming: online gaming is more sensitive to latency than speed, but a stable 10 Mbps connection is usually adequate;
• Remote work: video conferencing and large file transfers may benefit from higher speeds, around 100 Mbps.

How to cut the cost

If you find you’re overpaying, there are several strategies to reduce your internet expenses.

Negotiate your plan with providers

Contact your current provider to discuss your plan.

Providers sometimes share special deals or lower rates on their internet plans to keep you as a customer.

Switch providers or downgrade

Research other providers in your area.

Switching to a competitor or downgrading to a plan that better fits your needs can lead to savings.

Buy your own modem or router

Purchasing your equipment can eliminate monthly rental fees.

Ensure compatibility with your provider before buying.

Cancel unused services like home phone

If you’re not using bundled services like a home phone, removing them from your plan can reduce costs.

Take advantage of online tools

You don’t need to be a tech expert to find the right internet plan.

Use comparison websites like PlanHub, WhistleOut, or even the CRTC’s Internet Code resources to see what’s available in your area.

These platforms let you filter by speed, price, and provider, helping you spot better deals.

It’s also wise to review internet plans annually. Many providers offer introductory prices that increase after the first year.

A quick check-in once a year could reveal hidden hikes or new promotions you can take advantage of.

Wrapping up your internet savings

Reviewing internet plans can help you save money while keeping the performance you need.

Understand your actual needs, scrutinize your current plan, and explore available options, so you can ensure you’re getting the best value for your money.

Stay informed and proactive to keep your internet expenses in check.