How Online Bill Paying Can Save You Money

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03-03-2022 • 47 seconds

Online bill paying allows you to view, schedule, and pay your bills right from your computer or phone. Learn more about what online bill pay is, how it works, and its pros and cons.

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What is online bill pay?

Financial institutions and bill-pay services partner to offer this service to allow you to pay your bills without writing checks. Most online bill pay options are linked to a checking account and offer three payment types:

  • Immediate one-time payments
  • Future one-time payments
  • Recurring payments
  • Many financial institutions offer online bill pay as a part of their online services. However, some may charge an additional fee to use the service.

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Benefits

One advantage of online bill pay is that it automates your payments. Bills that are the same amount each month, like your mortgage, rent, or car payment, can be scheduled as a recurring payment.

Scheduling payments in advance can help you avoid late or missed payments, even for bill amounts that vary from month to month.

In addition, online bill pay can help you consolidate your payments into one place. You can log in to your online banking portal and pay all of your bills instead of having to visit separate websites for each of them.