Monthly Archives: May 2016

Online Bill Pay Has Its Advantages

indexLet’s face it, whether we like it or not, technology, specifically the computer and the Internet, has made our lives easier. In fact, most of us today, would be lost without it. We can instantly communicate and share our lives with family and friends all over the world. We can order almost anything we could ever want or need with a stroke of a key and/or the click of our mouse. We can also manage and monitor our finances in real time, and even pay our bills online.

However, there was a time, not so long ago, when people were hesitant to pay their bills online. (Some people are still skeptical today.) People were concerned about the security of Internet transactions and viewed online bill pay as a loss of control over their finances. Somehow, writing checks, stamping envelopes and putting these checks in the mail seemed safer. But, think about this for a minute. The simple act of putting a check in the mail puts your personal information (your name, address and bank account information) in the hands of numerous people before and after the check gets to its intended destination.

Today, people can pay almost every bill imaginable safely online – mortgages, college tuition, car loans, rent, utilities…you name it.

Switching to eBills or paying your bills online has many advantages, including enhanced security (replacing paper bills with electronic versions reduces the flow of personal information from unsecured mailboxes, where theft is a threat, as well as the number of people who handle it). And it’s also free!

You can pay your bills online in three key ways. You can pay them through your bank, the biller’s site or a third-party bill payment service. There are pluses and minuses to each. So, do a little homework to determine which method suites you best.

Online bill pay doesn’t necessarily mean you’re setting up automatic drafts from your bank account every month. You can be in charge of when bills get paid (of course, within the due date window) and, in the instance of credit card bills, the amount you want to pay.

You can also use your credit cards to pay your bills online. More and more companies are accepting credit cards as online payment. By using your credit card to pay your bills online, you can keep better track of your finances as well as earn airline travel miles and other cash-based rewards. You will also have more recourse if there’s a dispute or fraudulent activity. But, there’s a catch. Always make sure to pay this balance off when the credit car bill comes due. The last thing you want to be doing is financing your monthly living expenses.

Other great benefits of receiving and paying your bills online include:

Convenience – It’s faster and easier than the snail mail method. You also don’t have to be at home to view or pay your bills. You can access and pay them securely from anywhere in the world.

Eliminates the procrastinator factor – With online bill pay, there are no bills piling up on the counter or the desk in your home office waiting to be paid. And if you’re like most people and don’t pay them immediately, there’s the chance that you may forget about them and their due dates, until they are past due. Even if you wait until the last minute to pay your bills online, the transactions typically are processed within a day or two.

Organization – Online bill pay eliminates filing. Your bill paying history is available online.

Protect your credit score – You can set up your accounts to send you email reminders when bills are due as well as schedule automatic payments to ensure your bills are paid on time. This helps you maintain a good credit score.

Eco-friendly – Using online bill pay reduces the demand for paper. Less mail and envelopes to open and refill means less waste in our landfills, and less energy and fuel expended on printing, processing, mailing and transporting.