I use online bill pay to save money. My bank provides free online bill pay through their website. I just have to input each payee, payee address, and account number one time, and then each month I fill in the amount I want to pay and hit submit.
Yesterday I sat down and figured out exactly how much I save by paying my bills online.
I have 9 bills that I pay monthly, not counting the two bills that are automatically deducted from my checking account each month. Each of these bills would cost 42 cents to mail. That’s $3.78 saved a month, or $45.36 a year. Now, $45.36 a year may not seem like much, but it’s almost enough to register one of our cars with the DMV every year!
But online bill pay saves me in another way. It helps me to keep track of the bills, so I never miss a payment. I can just look down the list of payees on my bank website, and I can see the last time I paid the bill. That saved me a late fee many times when we were in the process of moving and slightly unorganized!
The other thing I like about online bill pay is nothing gets lost in the mail! Especially when dealing with credit cards, it’s important to make sure your payment gets processed in time. If your payment is even a day late, you can incur late charges and hiked interest rates.
With online bill pay, your payment can be processed in two days! And if there’s ever a discrepancy, your bank can go to bat for you, which is often more effective than trying to handle things yourself.
That doesn’t happen often, though. I’ve been using online bill pay for years, and I’ve only had one payment that showed up as paid by my bank, but not by the payee. I called my bank, and they worked it out for me right away.
Online bill pay saves me stress and saves me money. What do you do to save money?
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I'm just an average mom, trying to live a frugal life and get out of debt. I write about things that have (and haven't) worked to improve my family's financial situation. What works for me may or may not work for you, and you should always consult a financial advisor before making important financial decisions.
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