Do you use online banking? If you have a smartphone, you have 24/7 access to your bank account anywhere you can connect to the internet. No smartphone? You still have access, if you have a computer with an internet connection. Are you still writing checks and stamping envelopes? Have you ever been late because it was not delivered on time? I have a solution for you.
I am relatively new to online banking. I just started using online banking about six (6) years ago. I started to use online banking because my wife and I were traveling overseas. Normally, I would pay all my bills the old fashioned way by writing checks and stamping envelopes. I would then have one of my children mail the checks on certain dates while we were away. It worked well for years. So why change?
I’m sure you have heard the phrase, “if it’s not broken, why fix it?” Although my children are very reliable, the postal system is not. I had to think about how much time was enough to make sure the payment arrived on time. Late fees can add up real fast. Banks are increasing fees and penalties for late payments. I am rarely ever late, but in almost all cases, it was due to the postal system.
Is online banking a more reliable choice? It is not only more reliable, but much easier. Maybe it is the accountant in me because I like the idea of controlling my expenditures with instant balances and totals. It removes many of the mistakes that can occur in a handwritten ledger. No addition, subtraction errors or forgetting to record a check, deposit or withdrawal.
Have you jumped on the online banking bandwagon yet? It is relatively new, it was started in the 1990s to allow customers to view their accounts and transfer funds between them. The modern automated teller machine (ATM) was started in the 1960s and was the first way for bank customers to access their bank accounts. Although there are fees for using another bank’s ATM, it started a trend.
Banks want customers to do more transactions online or at the ATM. It costs less and there are shorter lines than the traditional brick and mortar bank. Banks are automating to saving money and so should you! Are you still going inside the bank? It is rare for me to go inside the bank. I only do when I want to access my safe deposit box and it always take more time than I like. They have to let you into the vault and there is no full time attendant.
Ten Reasons to Switch to Online Banking:
- Save postage – It appeals to my frugal side. I make twenty-five plus (25) checks (payments) every month online which translates into upwards of eleven (11) dollars every month.
- Convenience – You can access your bank accounts 24/7 from a variety of instruments such as a smartphone, tablet, notebook, laptop, desktop and ATM. If you are on the road or move a lot, you can have all your bills received online and you can pay them online. Schedule bill payments in advance, set up recurring payments and check payment history.
- Services – Access your checking, savings, line of credit, credit cards, other loans, investment and mortgage accounts. You can transfer money between accounts, pay bills, transfer or pay money to an individual or company. Last, you can go paperless and receive electronic invoices. Deposits via smartphone are becoming commonplace.
- Security – In the beginning, people were concerned with internet security, but it is now much more secure than just using regular mail. Many were reluctant because of identity theft, but paying your bills through online banking is more secure than mailing a physical check. You update your files and establish security. Passwords should be complex and changed often.
- Environment – Going paperless is a good trend for the environment! You can avoid a physical bill mailed to you and mailing a payment. Most companies offer e-bills. You can even go paperless bank statements and just print out statements or checks when you need them. You save the environment of a lot of paper.
- More Organized – You can look at your bank account balance as you pay your bills. You can set up automatic payments, particularly for mortgages, debt or routine payments. I particularly like it when I get a zero interest account to make sure I do not go past the promotional period. E-mail reminders (alerts) keep you organized and avoid late payments.
- Avoid Late Fees/Penalties/Interest – I hate late fees, penalties or interest! It is what motivates me to pay my bills on time. When I receive a bill, I immediately schedule when it will be paid. My bank guarantees delivery by a particular date so no possibility for fees.
- Personal or Business Accounts – Online banking is not just for personal accounts. You can have your business accounts online too. It has all the same advantages as a personal bank account and you can manage your money better too. I wish I would have online banking when I owned my businesses!
- Fraud Protection – Bank accounts are protected by the institutions for fraud as long as you take ordinary precautions. Similar to checking your credit reports routinely, you should monitor your bank accounts.
- Manage Your Money – You can manage your money better by just having access to your account 24/7 everywhere. You know immediately if you have sufficient funds in your account, You can retrieve information anytime and anywhere. You need information to manage your money!
What are you waiting for? Banking online is a great convenient way to access your bank accounts to pay bills, make payments and monitor you accounts. It is a great way to manage your money and become more aware how you spend and allocate your financial choices. The best part of online banking is there are no fees. You can use the service and save money too. Is online banking in your future?
Photo by: Don Hawkins
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