You Should Never Put These 9 Bills On Autopay! ( Here’s Why)

Bills

Autopay is the sure-fire way to pay any bill on time to minimize the risk of late fees or forgetting the due date. If you don’t want to forget payments and face the penalty of late fees, you can set your bank account to pay your bills automatically.

However, setting up an automatic payment deal doesn’t work for every expense. It can only be ideal for your car or mortgage expenses because these payments don’t fluctuate every month. You should keep track of what you’re paying for.

A study revealed that an average American spends about $237 per month on autopay subscriptions, and a number of them underestimate what they think they owe.

Therefore, before you decide to place all your expenses on autopay, there are certain bills you should keep a closer eye on. You shouldn’t include these bills in your autopay.

Utility bills
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Utility Bill

It’s safer not to set utility bills on autopay. Your gas, water, and electricity do fluctuate every month. You can sign in to your account every month, which grants you access to review statements before making payments. As a result, any unusual price accumulation will easily be noticed.

For example, you could notice an unprecedented increase when it comes to your water bill, and that could be associated with a leaky spout or running toilet. This will enable you to repair the loopholes so they won’t constitute your bill. Monitoring your bills will also help you cut some habits that are likely to retain more energy than usual.

Cell phone bills
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Cell Phone Bills

Autopay is a time-saving strategy for managing payments if your bill doesn’t differ and you have an unlimited cell phone plan. Setting up an autopay account can be a good idea, but then, you don’t have an unlimited cell phone plan.

You do not know how much to pay since the bill fluctuates. However, if you have any sort of data or calls, you’ll want to turn off autopay, so you don’t miss overages that are more valuable than simply signing up for a better plan.

You’re more likely not to inspect your cell phone payment after setting up autopay since it’s a hand’s off strategy to paying bills. You might not detect billing errors, and you’ll end up paying more than necessary. Before you set up payments automatically, make sure you check your cellphone bill first. You could notice some billing errors.

Cable bills
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Cable and Satellite Services

It is important always to remind how much you pay for TV because your viewing habits might deviate, and you want to keep a tab on your bill. With your bills automated, you might not know the amount you spend on extra services.

Analyzing your cable and satellite bills will tell you when the promotional offers you sign in for have expired. It will enable you to call the company and ask to renegotiate your service.

Making a one-time payment gives you the chance to review your bills for the price increase and every other option you might not be using.

Gym membership
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Gym Membership

If you’re serious about losing some pounds, signing for a gym membership is ideal. But, if you pay monthly and hardly visit the gym, it is just a waste of resources. If you visit the gym at least 5 days a week, putting the gym membership on autopay is useful.

Evaluate your gym membership. If you go to the gym regularly, you can set up autopay. With autopay, you lose track of some money being drafted from your account, and you become habituated to paying expenses you never use.

Annual subscription
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Annual Subscription

Don’t set up autopay for expenses that renew once a year. You might be someone that keeps track of every activity, but an annual subscription can catch you off guard. You might fail to remember the next due date since you don’t think of these expenses regularly.

The company or retailer could draft the fees from your account unexpectedly without minding if you have enough money in your account, whereas you don’t have enough in your account. Even if you look at your credit card every month, it’s really hard to track.

It is a good idea to take off this expense from your autopay.

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Beauty Boxes

Beauty brands send beauty boxes to their subscribers every month as a way of promoting their business. Beauty brands make money from them because it is a smart marketing tactic. You should completely avoid it because you might not use it on a daily basis.

Although, this beauty box subscription is relatively cheap($10 per month). If this expense amounts to a year, it’ll sum up your bill.

Do the necessary calculations before setting your beauty boxes on autopay unless you’re a makeup artist or a beauty enthusiast. There’s no point spending over $100 in a year on something you probably won’t use.

Streaming video services
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Streaming Video Services

According to a recent study, consumers subscribe to an average of 4 streaming services like Disney+, Netflix, Hulu, Amazon prime at any time, and they switch often. Streaming these services is convenient considering their wide varieties.

But, your cable can also provide some shows and movies that are offered by those streaming services. Since your cable provides your favorite show, there’s no need to subscribe for Amazon Prime or Disney+.

You should consider the fees you pay every month for streaming videos. Therefore consider whether you need the services before streaming. If you signed up for streaming and didn’t utilize it maximally, you might be wasting money.

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Music Streaming

Spotify and Apple music allows you to stream any song from your favorite artists. Before you can stream any music, you have to provide your credit card or bank account number. Music streaming service causes a deduction in your account monthly.

If you stream less music, but you’re still subscribed to the services, the company still deducts from your account. If you forget to cancel, you end up paying for a service you never enjoyed.

In general, music services aren’t so ideal, and it’s meant for people who don’t know where to channel their expenses. If you love this service, you should know that no matter how much or little you use it, the company deducts the same amount from your account.

Newspaper subscription
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Newspaper Subscription

Are you the type that prefers reading the news over watching, then subscribe to the digital format? Your newspaper might end up being piled up when life issues show their face or when you get busy.

It isn’t so ideal because there are several online sites where you can see daily news to digest without losing any dime from your wallet. It is easier to cancel the plan when you place it on a one-month subscription, especially when life becomes hectic.

Most newspapers give their readers an autopay plan. Some might fall for this trap, thinking it’ll save them from stress.

Conclusion

Autopay is actually a perfect idea when you have very necessary expenses. After all, we all want to be efficient in paying our bills.

But, don’t be surprised if you don’t take cognizance of these bills mentioned above; your money might be running down the drain without your knowledge. Do not barter efficiency for wastage; some of your acts might be a detriment to your wallet.

Just make sure you have a jotter or calendar for tracking these bills monthly. As time goes on, you’ll get used to it. You’ll notice that your account balance won’t be reduced with no reasonable cause.

Read also: 9 Hidden Fees You’re Probably Paying Without Knowing

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