Bill pay service: An overview
If you’re looking for a way to pay your bills, an online bill pay service can help you do just that. An online bill pay service is offered by many banks and credit unions to help customers pay bills. Here we’ll tell you more about what it is and how to use it.
What is bill pay?
Online bill pay enables you to schedule and pay your bills right from your computer, tablet or mobile phone. An online bill pay service works by deducting a payment from your account balance and transferring it to a service provider. A bill pay service may be included as part of a checking account's features.
What is bill pay used for?
Online bill pay services can be a helpful tool for organizing your bills and paying them on time. Some of the most common payment examples are for:
- Utilities like gas and electricity
- Communications like phone, cable and internet
- Rent or mortgage
- Credit cards
- Auto loans
- Gym memberships
- Ongoing charitable donations
How does bill pay work?
Rather than sending a check to your electric company by mail, for example, you can have your payment deducted electronically in the form of a one-time or recurring payment.
Types of payment options
With a bill pay service, you’ll most likely have a few payment options to pick from. These typically include one-time and recurring payment options.
In summary
If you're looking for an alternative solution to pay bills, rather than sending paper checks through the mail, consider using an online bill pay service. Whether for one-time or ongoing payments, an online bill pay service may be a more convenient option for paying bills.
