Comments on: Problems with Automated Payments

By: Gail

Gail — Sat, 06 Dec 2008 01:14:59 +0000

I don’t particularly like automatic payments due to hubby being self-employed and with erratic payments. But I use it for a couple of things that saves me money–I signed up for my Medicare C&D to be automatically withdrawn which saves me $2 a month each plus the stamps. I know when my disablity check will come and so I automatically draft that amount out of the check in my checkbook (also the mortgage payment) and don’t have to worry about them being there in time. I prefer paying other bills by hand so that I can keep track of them such as electric and propane–this year I am tracking the amount used and want to do a chart in excell to track usage on a year to year basis based. I realize that I can do that on line, but paying your bills yourself puts you in control. We are paying off a couple of credit card bills and paying extra each month. By paying manually I can determine each month how much extra to pay on the bill and seeing those babies drop is a great thrill.

By: brian

brian — Thu, 04 Dec 2008 19:47:53 +0000

This just in…if you are living paycheck to paycheck, Auto Payments ARE NOT for you? This seems pretty obvious to me. I use Auto pay all the time and it is very convenient. I recently moved and had no issues with any of my accounts, however I am very organized and on top of all my payments.

By: Jessie

Jessie — Wed, 03 Dec 2008 16:21:27 +0000

I like to pay bills online through my credit union, assigning the date each month because I’m paid every 2 weeks so the money is not always there on the same date.

Two warnings: I used to receive all my bills electronically, till the day my computer crashed and for one month I didn’t know all the amounts I owed or when they were due. Now I always have the statements mailed to me.

Also, double check on your bill payer. When online bill payment first started, the bank I was with neglected to send in my car insurance premium, and the company canceled my insurance without notification. I first found out nearly a year later when I was stopped at a routine police checkpoint, my wallet insurance card was expired and I inquired why I hadn’t received a new one.

By: Beyond Paycheck to Paycheck

Beyond Paycheck to Paycheck — Sun, 23 Nov 2008 19:20:25 +0000

The problem with automatic payments is the same with paying for clothes with a credit card: you’re emotionally separated from the pain of spending. When you hand over cash or have to write out a check (or manually process a bill online), you’re feeling the pain of the expense.

When you feel the pain, you’re likely to spend less or at least revisit the necessity of the expense.

By: Max

Max — Sun, 23 Nov 2008 04:29:08 +0000

Good point — although I suggest telling anyone who is trying to draw out of your account to f*ck off if the withdrawal is unauthorized. If it’s not their money, why are they trying to draw it? In a very strong language, threaten them. Tell them you’re a search engine optimization specialist, and if they don’t budge, theircompanysucks.com is going to be the very first site people see on google. Works every time.

By: Kate

Kate — Sat, 22 Nov 2008 20:18:59 +0000

I pay most of our bills through online banking, but they are set up by me each month. I do not have any set up to go automatically, even though that is an option. I save on the cost of stamps and I know exactly when the money will arrive so it’s never late (dependent on the USPS).

By: ~Dawn

~Dawn — Sat, 22 Nov 2008 19:19:37 +0000

I’m with Julie, I like seeing the money go through my hands and knowing that I paid that and not relying on a bank.

By: Julie

Julie — Sat, 22 Nov 2008 15:28:09 +0000

I like paying everything by mail.

By: Annie Jones

Annie Jones — Sat, 22 Nov 2008 15:17:13 +0000

I prefer online bill paying through my bank. I pay all the bills I can with it. In order to earn interest on my checking account, I have to have one bill set up to be paid automatically each month. All the rest are paid only when I decide they are paid.

I still use paper checks for a couple of bills a month. One of those doesn’t accept online payments, and the other (our van loan) contains extra money to go toward the principal. I like to add a handwritten note to that one so that I’m sure the funds are directed as I intend.