It is common for elderly to misplace keys, forget a phone number or blanked on someone’s name. When we are young, we don’t pay attention to these situations, but when we get older, sometimes we get worried when we forget something important, like paying bills.
According to the Financial Literacy Survey conducted in 2014, 1 in 4 US adults don’t pay their bills on time simply because they forget about it. Many of them also lose their bills or forget to check the due date.
Faster, Cheaper, And Easier
There is no doubt: online bill payment is easier and faster than the traditional check-and-stamp method many seniors use. Have often do you leave your paper bills somewhere and then suddenly remember that it is several days past the due date?
With electronic bills, you can set up monthly payments through the biller and never forget to pay your bills on time again. Of course, you can also go online every month and pay bills instead of doing automatic payments. It will save a lot of time, frustration and stamps.
Even if you wait until the very last minute to pay your bills, online transactions process much faster than mailed transactions and you can still pay everything on time.
More Than Just Utilities
But online payments can offer more than just paying for electricity or water online. You can set monthly payments on any date and pay for your car or make mortgage payments. You can even set minimum monthly payments for your credit card, just in case if you miss the payment and don’t want to pay fees straight away.
Many seniors have vacation houses and it is even easier to forget to pay for two residences. However, once you set automatic bill payments, you will have worry-free vacations.
Shifting To New Technology
Even though there are many benefits of online payments, many people still prefer the traditional method regardless of higher costs and inconveniences that come with offline payments.
According to the study called How Americans Pay Their Bills, the US citizens spent over $3.9 trillion on bill payments in 2016. And even though there is a clear shift to online payments, ACI Worldwide reports that many seniors are reluctant to switch to this way to pay bills. The good news is that over a half of the bills are paid online through the bank, the biller or the website.
Of course, there is a gap between generations. Younger generations enjoy benefits of online payments, but 40% of seniors still paid their bills via mail. Younger generations pay over 60% of their bills online.
Convenience And Flexibility
Online payments slowly but surely win over traditional payments and that is great if you think about the convenience and flexibility they offer. Of course, it is better if a family member can help retirees with their online bills and digital accounts.
So whether you want to make payments whenever you are ready or have your bills in check, consider automatic payments or online bill paying to make paying bills a breeze.
We hope you get value from these tips, if you would like to get a review of your retirement plan or put one in place to help you accomplish your financial goals, give us a call at 410-435-3270.