Snail mail is dead. Online rules. When it comes to simplifying your life, automatic bill pay is one of the easiest things you can do. No more checks to write. No more stamps to buy. No more late fees because you forgot the bill was due.
Many companies allow you to pay your bill through their website for free. However, I strongly caution you against using this method of automatic bill pay. For one thing, you have to log onto each individual site to pay your bill. More usernames, more passwords, more headaches. But the biggest reason I dislike this method is that it’s simply not secure enough. Think about it: if you have 3 utility bills, 3 credit cards, a car loan and a mortgage payment, that’s 8 different companies with access to your bank account info. Not safe. Especially in light of the recent Target security breach, it’s more important than ever to guard your personal and banking information.
A better option is to do bill pay directly through your bank. One username. One password. One-time set up. You can schedule payments to go out monthly on a date you choose, so you don’t have to remember when your bill is due. Simply log on once or twice a month with your bills in front of you and update the payment amounts. Some bills like cable, car payments and mortgages stay the same month to month, so you don’t even have to worry about them!
The one potential downside to using automatic bill payment is that you’ve gotta make sure the money is in your account when the bills are due. (That’s essential when you pay by snail mail, too, but it’s a little easier to forget about it when the bills are paid automatically.
If you need help budgeting and managing your finances, I highly recommend Dave Ramsey’s Total Money Makeover program.
For more in-depth training, plus accountability, look for a live Financial Peace University program near you. It’ll totally change your outlook on money, spending, and budgeting. And it’ll change your life.
