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Bill Pay vs. AutoPay. Which one is right for you?

Bill Pay vs. AutoPay. Which one is right for you?

Let’s talk about your options.

Bill Pay: is paid through your bank.
You initiate payment.
Your bank may send this payment electronically or mail a check to the vendor.
Essentially your bank is PUSHING this payment to your vendor.

Pros:
✔️Pay multiple vendors on one website (your bank).
✔️Can be easily started and stopped.
✔️Can easily set up one-time payments or recurring payments.
✔️You select your pay date.|
✔️The vendor does not have the authorization to debit your account.

Cons:
❌It may take time to set up.
❌Payment could arrive late if your bank sends a manual check.
❌The vendor could wait a while before they actually deposit your check.

AutoPay: is paid through your vendor
The vendor initiates payment.
The vendor has access to your information and they debit your account.
Essentially the vendor is PULLING this payment from your account.

Pros:
✔️It’s automated, so you don’t have to think about it!
✔️They debit the correct amount. (Usually)
✔️Debited on time, so no worries of late fees.

Cons:
❌You don’t choose the pay date, your vendor does.
❌If they debit the incorrect amount, it takes time from YOUR day to correct this.
❌The vendor may have the authorization to debit your account for any reason at any time.
❌If the credit/debit card expires or becomes lost or stolen, you need to log into each vendor’s website and update your information.

There are many things to consider when choosing bill pay or autopay. They both require work on your part. You can’t completely set it and forget it. But they both may make managing your money easier!

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