Home adventurers it is time to talk about bills, monthly bills, and paying bills on time!
I know adulting sucks, but the reality is that to tackle your money stress you and start enjoying a more positive lifestyle we need to address things we don’t tend to like.
And this is paying bills and paying bills on time!
Now we know we must pay bills and we should all remember that paying them on time is what we should all do! Every month our monthly bills are due and somehow many of struggle with this.
Now, before you go and feel that I’m judging you let me tell you that I am not; paying my bills on time was a massive struggle for me and hard for me to admit responsibility and hard to overcome.
I’m here to show you how to fix that and reduce your money stress we seem to endure each month when paying bills is the issue.
You also must understand that paying bills is your responsibility and you got no one to blame if they are not paid on time.
When someone is providing you services or loaning you money, the policy states that you must pay it back on time. If you don’t pay your bill on time it’s your fault, not the company.
We talk about a broke mindset and to be honest my responsibility about paying bills on time was not one of my proudest moments. The good news is that you can change that mindset and continue to grow and change the way you view money and wealth.
If you think that paying your bills late doesn’t affect you by much, you are wrong.
Paying your monthly bills late cost you more money. It even grows your debt in some cases!
Don’t believe me? Then you need to keep reading because you are going to learn how to reduce some of these bills and most importantly what are the advantages of paying your monthly bills on time.
4 Advantages of Paying Bills on Time
We said that paying your bills will end up costing you more money and even more debt! Below are the reasons you need to start paying your bills on time every month and when they are due.
When you don’t pay your bills on time, you get charged late fees. So, what does this mean? It means that you will be added an extra amount of money every time you pay after the due date.
Let me give you an example of how much you could pay on your overdue cable bill every month. We are talking about paying late not having your cable shut off due to late payment, that will be cover later.
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Cable bill late fee for Comcast – $10.00 (Example amount not sure what their late fees are!) If you pay your cable bill every month for a year late – $10 x 12 = $120.00!
When you pay your cable bill late every month, you will pay $120 on late fees alone per year.
Now, remember that every place you have services from will charge you late fees so imagine if you have more than one bill that is late?
Many places charge a percentage or a dollar amount and if you add for example $25.00 credit card late fee.
Now if you pay your cable bill late and your credit card bill late every month let see how much that will be in 12 months.
We know $120 a year on late cable fees now let’s multiply $25 x 12 month = $300!
$120 + $300 = $420 in late fees a year!
Looking at these samples are you willing to give away your hard-earned money on late fees?
It is essential that you remember when your bills are due and pay them before the due date to avoid paying more.
Next, we are going to cover cancellation.
Now, if you are always very late and depending on the kind of service chances are your services will be canceled.
When this happens, the chances are that you will be slap with a reconnect fee to get your services back up again.
Another important note to know is to don’t be surprised if you are informed to pay a deposit plus your bill in full. Also, some services might even add a service fee too.
Let’s recap if you don’t pay your bill sometimes you will have your services canceled which will lead to extras fees for reinstating the services and sometimes a deposit because of your payment history.
Again, I don’t know about you but why would you want to pay extra and even more for already pricy services.
Paying your bills on time will save you this headache and money and increase your credit!
Yes, your credit report and if you are wondering how you want to increase your credit, you might want to keep on reading.
If you are tired of having negatives on your credit report and low credit score maybe you need to look at your monthly bill paying habits.
Not paying your bills on time will affect your credit score! This means that your credit score will be low, and you won’t be able to take advantage of the perks of having a good credit standing.
Now, here’s the thing, just like credit card companies, cable companies, and other utility companies report your late payments, they publish your good payment habits too!
When you pay all your bills on time, it helps your credit earnings. It shows that you are responsible and can pay your bills on time!
Having a low rating score means you are going to pay more with high interest. The best thing for you to do is start paying your monthly bills on time because this is going to help you save hundreds or maybe thousand in the future!
Sometimes unexpected things happen, and we have to make payment arrangements to pay our bills! It happens to many of us.
Now here’s the thing, to have a payment arrangement you must have a good payment history with the company.
And if you are in the habit of making late payments on your bills payment arrangements might not happen or might come with fees.
Here’s the reason why you might not be able to get payment arrangement or pay extra for it. Since you have a payment history of paying your bills late, the service company sees you as a liability.
If paying your bills on time is such an issue what makes you think they will see payment arrangements as a more natural solution?
You don’t pay your bills on time; you are not going to pay your arrangement on time either.
When you don’t pay your bills on time, you are going to pay more as you can see. You are creating a more significant liability that will affect your finances and future finances.
Your credit report will be affected, and your chances of paying less of interest will be affected as well.
If you have a hard time paying your monthly bills on time here are some tips for you.
What to do when you can’t pay your monthly bills on time
Gather your bills
The first thing you need to do is gather all your bills and use a calendar and write down their due date and how much you owe and your minimum payments.
Take the time to call each company and see if you can have your due date change or payment extended. Explain your situation and see how they can help.
Now, remember when I mention about terrible payment history?
Well, this might affect your outcome, but you know what you must do and what is going to work with your situation now.
The least they can say is no right?
Now sometimes and most of the time the company will work with you and help you out and when they do, please stick to paying them and being responsible.
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Reevaluate your bills
Look at all your bills and policy because maybe it is time to start making some changes to help you bring your monthly bills down.
You are going to see if you can find coverages you don’t need if you can find better coverage by switching.
And again, if you have a good paying history, this will benefit you because the companies will work with you to keep you since you are such a good costumer!
Every year or six months make the time to look at your auto insurance policy and make sure you are paying what you can afford.
Find the insurance coverage that works for you and your vehicle and if you don’t see that your current car insurance company is cheaper shop around.
Here’s the thing when it comes to home insurance, you have to make sure you are not paying more than what your home is worth.
Also look to see what exactly your current home insurance is covering you for. Are you paying for flood insurance if you are no longer or not in a flood zone?
Look to see if your company is offering a discount that helps to lower premium. If your insurance is offering you a discount for having fire extinguishers and security cameras as this might save you money, then find out and what you can do to make this happen.
And if you don’t see a good deal, shop around!
Many life insurances don’t change a lot. I mean they are cut and dry, but I suggest you talk to your insurance agent about discounts and even seeing about lowering your premiums.
In today’s world, medical insurance must be the one that affects most of us. It seems like we have absolutely no control over the amount of money we have to pay!
Here are some tips for you!
If you are not sick, then stick to a plan that works for you. Do not pay for coverage you don’t need. Check the marketplace and see what other options are out there.
Check your state family average income and see if you qualify for benefits such as CHIP because household incomes increase, and you might now be eligible.
Call your insurance and see what kind of discounts or perks they have that might help you keep medical insurance and expenses down.
As you can see these policies should be looking at if you have a hard time paying your monthly bills; if you can save money, use the money, you saved and added it to your bills.
It is important always to make calls to discuss your concerns and see if you can bring these monthly payments down.
As you can see paying your monthly bills on time has tremendous benefits and the tips to help you pay them on time will help you get there.
It is essential to know when each bill is due, how much is due, and to pay them on time. Always take the time to review all your bills and see if you can bring some of these payments down.
But remember to keep paying them on time always!