DEBT: SHOULD I AUTOMATE OR MANUALLY PAY MY CREDITORS?
Do you ask yourself “how can I pay my credit cards off faster?” There are lots of tips for this!
Automation is always the best option. Understand it thoroughly. Once you install it, and there will be no problem with the bill delay again. Another benefit of Automating Your Debt Payments is consistency. Therefore, automating your debt payments is a very good option. This is especially necessary so that your credit report is not bad. An example for consistency: you can automatically lower the interest rate by 1% after making 36 consecutive, consistent payments when paying off Sallie Mae loans. That is great.
Let’s share the benefits of automating your debt payments
*Forgotten payments: every month, it is common to forget a payment when the day comes.
*Don’t miss out on a discount: lenders will charge you if someone sets up the automatic payments, meaning some will give you the money to do so. If you make your payments manually, you may miss the 0.25% discount. Because lenders know that repayment + interest payments are more likely in direct debit.
*It doesn’t take more time: You’ll also spend more time and energy paying each month, while there are technological possibilities.
Money has become quite difficult to manage. So there’s no need to think too much about making manual or direct debit payments. Financial gurus may oppose it, especially if you can take advantage of a discount in some way to set up automation
But if you’re a forgetful person, the penalties and a late payment on your credit report far outweigh the gains from that discount. On the other hand, you will easily remember to send extra payments as you have. And so you will feel very comfortable adjusting your automatic payment.
Related Article: How to Pay Off Credit Card Debt?