In addition to online bill pay, there are alternative electronic payment methods to help you pay ongoing bills online and avoid late fees.
Pay Bills With ACH Debit Payments
Like online bill pay, ACH (Automated Clearing House) debit payments are a convenient way to electronically move your money from your checking account to a payee’s account. ACH debit payments are electronic payments that move from one bank to another through the ACH network.
With this approach, you supply the service provider with your checking account information and grant them permission to take the money as needed. They’ll withdraw money directly from your checking account each time a payment is due. ACH debit payments are a great option if the amount you owe changes every month, like with utility bills.
Use Bill Pay From a Third Party
Another way to pay all your bills online and in one place is to use a third-party bill pay service. This service is similar to online bill pay through your bank except you are using an independent party to pay a bill or multiple bills on your behalf, usually for a fee. You can set up third-party billing in the same way you would online bill pay by creating a list of payees. You can also have payments sent electronically or by check.
It’s important to keep in mind that when you use a third-party bill pay service, there is often a fee attached to it. This fee may be higher than the fee a company may charge when you pay them directly.
