How to Avoid Late Payments
Everyone knows that being late on your loan payment and credit card payment can directly hit your credit status. Only when you are charged with late fee, you will realize the amount of money you could have saved by paying your bills on time. It is true that one single household may have dozens of bills to pay every month. All the bills will have different due date that needs to be followed or else you will be charged with a penalty. Any sort of tardiness shall be quickly recorded on your credit history. So, if you are struggling with your payments there are several ways that will help you in making your payments every time on time. These helpful tips will allow you to manage your finances in a more organized way so that you do not have to pay late fee ever again.
Make a proper payment plan. A foolproof plan to avoid late fee is to pay all your fees and credit card bills a week in advance. Whether you are making a payment via online or via snail mail, one week is more than enough time. You can also set a reminder on your Smartphone so that you can get the payments done before the last date. Another way to remind yourself about your payments is to note down the dues dates on a calendar or on your daily planner.
Set Up Automatic Payments
The most feasible and easy way to pay your bills on time is to set up automatic payments. All you will need to do is pick the date and time so that the funds gets pulled out of your checking account automatically. Be careful with such payment system while you specify the amount. At times, it might not be possible for you to pay off the full balance of your credit cards. If you opted for automatic payment you need to set the maximum amount that could be drafted from your account. Choosing automated payment is the best way to avoid paying late fee. You just need to be sure that you have the necessary fund to cover the due amount. You may end up with an insufficient funds fee and then a late payment fee if you do not have the required cash.
Take Time Out To Pay Your Bills
Not everyone might be comfortable with automated payment system. If you one of them then you should set aside some time every month to sort out and pay all your bills. Simply take time out from your daily schedule and survey your bills, determine the last dates and pay them on time. Missing a bill payment just because you didn’t have enough time can result in late fees and can eventually affect your financial status.
Adjust Payment Due Dates
If you have been paying your credit card bill late and charged with late fee consistently, then you should take a look at the various factors that are surrounding such an occurrence. If your payday is days after the due date, it is likely that you will be late in paying your credit card bills. You can contact your credit card issuer and request to change the due date. Most of the creditors will change the due date as the credit card companies will never want their consumers to have a tough time with paying their bills. So, adjust the payment due date and make payments always on time. If the creditor does not change the date, then it’s time that you switch to a new card provider.
Take Advantage Of Payment Alerts
With day-to-day responsibilities at work and home life, it is easy to get distracted and forget your payment due dates. Not all consumers are organized. But you can always set up alerts and take advantage of it to remind yourself about due dates. You can opt for such alerts in form of emails or text just before the due date. You can also set up alerts on your phones so that you do forget any bill.
Communicate With The Creditor
You can always communicate with your creditor whenever an issue arises related to your payment. At times due to holidays or any other outright mistakes you could be penalizes with a charge. Contacting the creditor and discussing such issues can at many times reverse the charges.
So, follow these simple tips and avoid late fee. Find out what works best for you and ensure you pay on time to always stay steer clear of all the dreaded late fees.