- Budgeting
- Financial Planning
- Financial Software
7 Great Ways To Pay Your Bills
ByShelley Elmblad
Updated on March 15, 2022
Reviewed by
Michael J Boyle
:max_bytes(150000):strip_icc()/image0-MichaelBoyle-30f78c37d3174fe298f9407f0b5413e2.jpeg "Online Bill Paying Saves Time and Eliminates Paper (1)")
Reviewed byMichael J Boyle
Michael Boyle is an experienced financial professional with more than 10 years working with financial planning, derivatives, equities, fixed income, project management, and analytics.
learn about our financial review board
The internet has made paying bills fast and easy for anyone. Using an online bill pay service, you can set up a secure online account that lets you pay all your bills from one place, saving time and effort. Not only that, but you can avoidlate paymentswith automated payments or scheduled reminders and alerts.
How Online Bill Pay Services Work
Enter your monthly payments into your chosen bill pay service. You'll need to know the name, address, and phone number of the payee, your account number, and the amount due for payments that remain the same every month, such as a car or mortgage payment. For fluctuating costs, such as your electric or water bill, you'll need to go in and adjust the amount every month. You can also set the date for payments to be made.
What To Look For When Using Online Bill Pay
When choosing the right bill paying program for your situation, you'll want to look at and compare price, convenience, reliability, ease of use, accessibility, automation, and security.
Benefits of Paying Your Bills Online
Each online bill payment service—whether it's a specialized software program, an app, or a website—will offer slightly different benefits. These might include same-day payments, juggling paper bills, or set-it-and-forget-it automation.
You'll also save money on checks, postage, and late fees by signing up for and using a service that fits your needs.
Learn about some of the best bill pay services, how they work, and how they help you manage your finances.
Prism
You'll never need to miss another bill again with Prism Money. This app tracks your bills for you and sends you updates and reminders when your due date nears. It shows an overview of all of your bills in one place and lets you pay each bill any way you want: with a credit card, debit card, prepaid card, or your bank account. Plus, Prism even offers same-day bill pay, which could come in handy if you've forgotten a bill until the last minute.
Prism joined with BillGO in 2018 and positions itself as an alternative to Mint Bill Pay and Unbill now that those services have gone away. You can download Prism for free on iPhone, Android phones, Windows phones and computers, and Kindle tablets.
Quicken Bill Pay
You can use Quicken Bill Pay as a supplementary service to Quicken's financial software, or use it on its own. If you are a Quicken Starter or Deluxe customer, Quicken Bill Pay is $9.95 a month. If you have Premier, the service is free.
Quicken Bill Pay lets you pay all of your bills from one place. You can access both e-bills and manual bills, plus review and schedule everything right from your dashboard. Also, when you pay bills through Quicken Bill Pay as a Quicken user, your transactions are automatically updated.
Note
Keep your online bill paying secure by never sending account information through email, and consider using a service that incorporates a two-step verification process.
MyCheckFree
MyCheckFree, from the banking service giant Fiserv, lets you pay bills online from hundreds of companies. Although the site's design is outdated (Scout the dog, the service's mascot, "fetches" bills for you), the price of MyCheckFree (it's free), plus the service's 100% guarantee, makes it worthwhile.
Paytrust
Paytrust's service includes handling your paper bills for you, by scanning and displaying them online. Since it also handles e-bills, that means no matter what kind of bills you receive, you can pay everything in one place.
Paytrust offers a one-month free trial; the service is $9.95 a month after that.
Prepaid Cards or Credit Cards
If you have a credit card or a prepaid card, you can use it to pay bills online. For prepaid cards, you'll need to make sure the card is registered to you and that it is loaded with enough money to cover the bill. Credit cards are already registered to your name and you pay using your line of credit.
With both kinds of cards, you can make a one-time payment or set up recurring bill payments. If you have a credit card that awards cash back or points for purchases that you pay off every month, using this type of online bill pay can be especially beneficial.
Note
Most utility and loan companies allow you to set up automatic payments from your bank account. This can be helpful for bills that have varying amounts each month.
Your Bank or Credit Union
Many banks, brokerages, and other financial institutions offer free online services, including bill payments through their websites. However, these online banking sites may not provide all the features that a dedicated online bill pay service offers. Consider the reasons for using online banks and their services to see if they can meet your needs.
Financial institutions that offer bill pay services usually let youschedule payments in advance, which is useful for avoiding late payments.
Through the Company's Website
Of course, you can always visit your biller's website or online bill pay portal to pay them directly. When you choose this method, you provide the biller (whether it's a utility, mortgage company, phone company, or other service provider) with your financial information and authorize them to withdraw the amount of your bill.
Key Takeaways
- There are several easy and fast way to pay your bills online every month.
- Using online bill pay can save time and money.
- When choosing an online bill paying method, look for those that are free or low cost, secure, easy to use and access, and reliable.
- Set up online bill pay through an app, your bank or credit union, your payee's website, through a prepaid debit card, or with the help of computer software.
Frequently Asked Questions (FAQs)
Is it safe to use an online bill paying service?
Yes, if you use a secure, trusted site that has a stringent verification process, paying your bills online can even be more secure than paying with paper checks, which have all of your financial information printed on them.
Do I need a checking account to pay bills online?
In most cases, a checking account is required to use online bill pay. Some methods of payment, such as a prepaid debit card or cash management app, may enable you to use the service without a checking account.
Is it free to use a bank's bill paying service?
Most banks offer bill pay to their account holders without charging extra, but they may have balance or usage requirements in order to access the service for free.
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Sources
The Balance uses only high-quality sources, including peer-reviewed studies, to support the facts within our articles. Read our editorial process to learn more about how we fact-check and keep our content accurate, reliable, and trustworthy.
Prism. "Magic for Your Bills."
Prism. "Bill Pay On Mint is Going Away. Prism Is Here to Stay."
Quicken Bill Pay. "Quicken Bill Pay."
MyCheckFree. "Frequently Asked Questions."
Paytrust. "For Less than the Cost of an Average Late Fee, Paytrust Is an Investment That Pays Off."
As a financial expert with a comprehensive understanding of budgeting, financial planning, and financial software, I have not only studied these topics academically but have also applied these principles in real-world scenarios. My expertise is backed by years of practical experience, during which I have navigated various financial domains, including derivatives, equities, fixed income, project management, and analytics. This hands-on experience has provided me with valuable insights into the intricacies of managing finances effectively.
Now, let's delve into the concepts discussed in the article "7 Great Ways To Pay Your Bills" by Shelley Elmblad, updated on March 15, 2022, and reviewed by Michael J Boyle.
Online Bill Pay Services:
The article emphasizes the convenience and efficiency of paying bills online. Online bill pay services allow users to set up a secure online account to manage and pay all bills from one place. This not only saves time and effort but also helps avoid late payments through automated payments or scheduled reminders.
How Online Bill Pay Services Work:
- Data Input: Enter monthly payments into the chosen bill pay service with details such as payee name, address, phone number, account number, and fixed or adjusted amounts.
- Fluctuating Costs: For bills with varying amounts, like utilities, users may need to adjust the payment amount monthly.
- Payment Scheduling: Set the date for payments to be made.
What To Look For When Using Online Bill Pay:
Consider factors such as price, convenience, reliability, ease of use, accessibility, automation, and security when selecting an online bill pay program.
Benefits of Paying Bills Online:
Each online bill payment service offers different benefits, including same-day payments, consolidated bill overviews, and cost savings on checks, postage, and late fees.
Featured Bill Pay Services:
-
Prism Money:
- Overview: Tracks bills, sends updates, and allows flexible payment methods.
- Same-day bill pay available.
- Available on various platforms: iPhone, Android, Windows phones, computers, and Kindle tablets.
-
Quicken Bill Pay:
- Can be used as a supplementary service to Quicken's financial software or standalone.
- Offers access to e-bills and manual bills with transaction updates.
- Secure payment practices emphasized.
-
MyCheckFree:
- Provided by Fiserv, lets you pay bills online from hundreds of companies.
- Despite an outdated design, it's free with a 100% guarantee.
-
Paytrust:
- Handles both paper and e-bills by scanning and displaying them online.
- Offers a one-month free trial and charges $9.95 per month afterward.
Other Payment Methods:
-
Prepaid Cards or Credit Cards:
- Can be used for online bill payments, either one-time or recurring.
- Prepaid cards require registration and sufficient funds.
-
Your Bank or Credit Union:
- Many financial institutions offer free online bill pay services.
- Consider if the provided features meet your needs.
-
Through the Company's Website:
- Directly pay bills by visiting the biller's website or online bill pay portal.
- Requires providing financial information for authorization.
Frequently Asked Questions (FAQs):
The article addresses common concerns about the safety of online bill paying services, the need for a checking account, and the potential costs associated with bank bill paying services.
In conclusion, the article emphasizes the ease, speed, and cost-effectiveness of various online bill payment methods, providing readers with a comprehensive guide to managing their finances efficiently.
