Day 71: 6 Benefits of Online Bill Pay and the How-To’s

What: Paying bills online

Why: Have you ever had it when you sat down to write a check, but realized you used your last one? Have you ever realized a bill was due the day of, but know it will be late when you have to send the check out the next day? Have you ever completely forgotten to pay a bill? Maybe you don’t find yourself in any of those categories, but maybe you are looking for easier ways to pay your bills. Have you ever thought of online bill pay?

Online bill pay can be done through your bank or actual service provider, such as a credit card company or electric company. For example, you can go to the provider’s website and pay online. Typically you have the option to manually pay for each bill each month or you can set up your account to have an automatic withdrawal from your bank account. With setting up automatic payments, you ensure that you will not have a late payment and you do not have to worry about the time or remembering to pay.

Easy – writing checks, finding an envelope and stamps, and filing the bills after they are paid can get time consuming. With online bill pay, you do not need to worry about any of these items. If you are wondering about a previous bill, you can access your account quickly and for free in no time. You can access your information 24/7.

Saves Money– Stamps are expensive and they will probably not ever be cheaper. Think of all of the bills you pay in a given month and add up the number of stamps you have to use – you could be saving dollars a month, which adds up after a year. Also, when paying online, you do not have to worry about late fees if you sign up for automatic payments.

Preventative – online bill pay helps prevent late fees. You will receive email notifications for when the bill is due.

Quick – Jumping on the internet to pay a bill takes very little time, even if bill pay is done manually. If your account information is already in the system, it only takes a few clicks to complete the payment.

Less paper to file – instead of receiving bills and often other communication from the company, you can receive it all by email. This prevents the need to file and once you are done paying the bill, you can delete the email by the click of the mouse.

Secure – it is said that actually online bill pay can be safer than a check. One security issue with online banking to think about is phishing can get in the way of security – when someone sends a fraudulent to your email account, asking for your bank or credit card information. Typically these emails get sent to your junk mail folder and the email address does not match the company you have an account set up with. Make sure to change your passwords and set up your security keys when prompted. When you sign into your company’s account, know that those security questions are for your own protection and are not just there to annoy you.

Confession of the Day: Up until a few years ago, I paid all of our bills by writing checks. We did not have a secure internet connection at the time, but when we officially got our own internet, that was when it was time to make the switch. I have come to realize I would not want it any other way – paying bills online saves so much hassle for me. I do it manually each month for each company. I understand that it is not for everyone – do what you feel most comfortable doing. I do appreciate receiving email reminders, jumping on that company’s website, and with just a few clicks of the mouse, paying the bill. I do still write checks for some things, but I have greatly minimized my check writing. Living with less means finding the best way for YOU to do things. Online bill pay may not be for you and that is okay. Do what you feel is best.