It always amuses me when I hear of people sending off checks every month to pay recurring bills such as electric, cable, and other utilities.
The offerings are so plentiful, so easy, and so secure for online payments, that paying them by check not only wastes time, it actually wastes money.
Here are just a few of the ways you can save by paying your bills via online:
- Checks – While not the most expensive thing in the world, checks cost money. If you can go from a box every two months to every two years, that can add up to a few dollars in savings
- Stamps – Every envelope requires postage, whereas an online transaction doesn’t cost anything. Even paying just five bills a month can cost you $30 per year that you could otherwise save by automating those payments.
- Missed payments – Many people pay the bill as soon as they get it. If this is you, great. However, if you set it aside, chances are you’ve simply forgotten a payment or two somewhere along the way, which can add up to late fees.
- Credit dings – Along with the late fees, some utilities and other such companies now report to the credit agencies, meaning a missed payment could hurt your credit score.
If you aren’t automating your payments yet, today is the day to get started.
Thank you for reading.