The downgrade that's saving consumers big bucks on cable

As TV bills skyrocket, many consumers have cut back to basic cable while using Internet streaming methods to supplement their video needs. And it's proving to be a cost-effective solution that works - especially given the rise of low-priced streaming subscriptions.

"I just recently switched from a premium package with DirecTV to their basic package," said 29-year-old Blake Sanders from Fort Lauderdale, Florida. He is lead editor of moneysavingpro.com, which discusses TV and Internet providers and how to save money on service. "Consumers want to save money, and basic cable intro rates can be great. Usually new customers can find packages for less than $30 per month," he says.

Basic Cable Rates and Plans Aren't Typically Advertised, So Ask About it

If you want to check out what your area cable or satellite television company offers in basic plans, go to their website, says Edgar Dworsky, founder of ConsumerWorld.org, a consumer information website.

Although many don't advertise the prices, most of them do offer some sort of deal for a monthly subscription with a few dozen channels, he says. Of course it varies from area to area and company to company.

For instance, a recent Dish TV ad in the Chicago Tribune states the price of $19.99 for 12 months which gets a customer 30 stations including CBS, NBC, TV Land, FX, PBS, Animal Planet, and A&E. It usually costs $32.99 a month if you aren't a new customer to Dish, which is stated in the fine print.

On Time Warner's website, it quotes $19.99 for 20 channels and $39.99 for 70 channels. Comcast offers 80 channels for $44.99 a month, according to its website.

[Click to get TV and Internet quotes from providers in your area now.]

Can You Get By With Basic Cable? A lot of Consumers Are...

Chris Alvarez is a basic cable subscriber who understands videos and entertainment. He owns his own video production company, Transcendent Enterprise, in New York.

"I just called last week to reduce it. I am watching TV less and less (plus he could save some money, too)," he says. "My girlfriend and I decided to get rid of our cable box and just watch Time Warner Cable (TWC) online on our computer which is connected to our flat screen or on our tablets."

Their bill reduced considerably from $150 monthly. They now pay $68 a month for a Triple Play bundle that includes home phone, internet, and basic cable. Their cable comes through an app which allows them to watch the few channels they do get on their living room television or on their tablets.

"We just use the TWC app. That's what we are paying to have access to," he says.

When the couple is absolutely bored with what is on basic cable, they stream TV shows and movies on Netflix, which they pay an additional $8 a month.

[Want to save on you TV bill? Click to get quotes from providers in your area now.]

Why Not Cut the Cord Altogether?

The reason Alvarez kept his cable was because his girlfriend likes the "Real Housewives" shows and other reality TV hits. They aren't quite sure if they can find these types of shows through streaming, but they will investigate it later.

"I prefer to watch sports, and some of them are available on basic cable. Overall, if we have company, we would like to host them properly with cable television and sports channels," he says.

Alvarez believes the future of TV is changing, and it's in favor of consumers. He says that with all the new streaming devices and choices out there through the Internet,  cable and satellite prices should drop  because of all the competition.

Do Customers Who Downgrade to Basic Cable Miss Anything?

Geraldine from Connecticut reduced her cable subscription to the minimum about three months ago and does miss live news on CNN.

"But we check CNN's website often," says Geraldine.

But she and her family are only paying $59 a month instead of $160. They are able to supplement their entertainment choices by watching movies and TV shows that they stream from Netflix and Amazon Prime without any commercials. However, basic cable didn't offer some of the main network stations they were used to watching, but they were able to come up with a solution, nonetheless.

"We bought an antenna for $70 and get several free channels like CBS and NBC. Honestly, it is just fine," she says.

[Click to get TV and Internet quotes from providers in your area now.]

Other Clever Ways to Watch What You Want on the Cheap with Basic Cable

David Ning gives out advice about investing and saving money on his blog Moneyning.com. He says that streaming video entertainment from the Internet is one of the best deals around, especially if you are just subscribing to basic cable.

For instance, if you are a sports enthusiast and your basic cable doesn't offer the channels you need to see your favorite matches, there are ways around paying for those high-priced sports upgrade packages. For instance, he downloaded an app from The Masters golf tournament and watched the parts he wanted to on his iPad.

Even if you did get to watch The Masters on regular television, the camera only follows the most popular golfers, he says.

"With the free App, I was able to watch whatever hole I wanted to or watch a couple of holes at a time. I also got to watch the players I wanted to watch. More and more sports' venues are doing that. Plus, there are no advertisements," Ning says.

[Want to save on your TV bill? Click to get quotes from providers in your area now.]