8 Benefits of Electronic Bill Pay
There was a time when people were hesitant about paying bills online. Many people did not trust the security of Internet transactions, and to some, paying bills online was risky. Mailing paper checks seemed to be more secure. However, over time people realized that electronic bill pay is quite secure and many warmed up to this method of payment.
Benefits of electronic bill pay:
Online payments through your banking institution makes it convenient to pay all your bills from a central location. You don’t have to log into several websites and remember multiple passwords. Many providers also include an option to pre-schedule payments on their due date or another day of your choosing. Whether you receive your bills electronically or by mail, you can utilize online banking to make payments. After scheduling a payment, the banking institution will either pay those companies electronically or send them a paper check.
Financial institutions now use the best security protocols to help keep your transactions secure. Several methods are incorporated to keep your information safe, including:
- Usernames and Passwords
- Multi-Factor Authentication
- Security layers that help in preventing outsiders from attacking
- Encryption processes that keeps your data hidden during electronic transit
3. Simplified Money Management
When you use electronic bill pay, you can check account balances and determine whether your payment has been scheduled and when it’s been paid. Other benefits include:
- Searching specific payments online
- Accessing online payment history
- Setting up email alerts to keep you posted about scheduled payments
4. Credit Card Payments Allowed
There are several advantages to paying your bills with a credit card. It lends an extra layer to the security for your payments. Also, if you do not have enough cash on hand, using your credit card leaves the worry behind of your checking account going into overdraft.
5. Going Green
One of the biggest benefits of paying bills online is eliminating paper waste. In addition, it also eliminates the costs of postage and envelopes.
6. Easy Consolidation
Using an online bill pay service allows you to consolidate your bills in one place. They’re collected and emailed to you, and then posted to your account. From there, they can be automatically paid from your account on the dates you specify.
It’s certainly possible to lose focus on your finances, but electronic bill payments help you organize your records. With all your bills and payments organized in one single place, you can easily tell if something is posted incorrectly.
8. Saves You Time
Once you have the electronic bill pay service setup online or your mobile device, it takes just minutes to pay your bills.
Today, online banking is considered to be much safer than paying by a check and reduces the risk of identity theft. Although security risks exist online, it is more secure than sending your personal information through the mail. Increasingly people are shifting to electronic statements and making use of online bill pay, thus saving themselves time and money.