It seems like such a good idea....

The companies make it so easy for you, right?

Just sign up for auto pay and they will magically take money out of your bank account to pay your bill and you never have to worry about it...

BUT WAIT, THERE'S MORE

Don't be so fast to sign up for auto pay that way. Once you do that, you lose control of the money being taken out of your account.

The company can take your payment out twice, yikes, overdraft.
They can continue taking money out even when you don't owe them money any more, yikes, overdraft.
They can make a typo and take out too much or too little, yikes, over draft and late fees.

The experts say the better way to do this is to set up the auto pay from your bank.

That way you have control over the money. If you want to stop the auto pay, it is a simple matter of you canceling it on your side and not trying to get someone on the receiving end to stop it. I have wanted to stop an auto pay "immediately. Sometimes, the receiver has a 30 day window in which they still have access to your account before they cancel the autopay.

Take my advice on this one, use the banks autopay, not the creditor's autopay.

Thank you very much for listening

1 comments

I really like that tip actually! We do have a few auto pays. I'm gonna switch them right now actually :)

Gracias!