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Buh-Bye Bill Pay!

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I don't know how many of you use the online bill pay feature through your bank, but up until recently not only did I use it, I adored it! It was convenient to log into my bank account, transfer money to the account that I use strictly for bills and then set each bill to be paid on the date it was due. On the due date that I selected, the amount would come out of my account right then and there and the bill would be paid. No Fuss, No Muss. Ahh.. but apparently my bank decided that it wasn't raking in enough fees from it's customers because a couple weeks ago they switched to a new system. A system that once you set the bill to be paid on a certain date, the balance on the account remains the same, without that amount removed. So it appears that you have considerably more money in your account than you actually do. So much for up to date live balances!

Now I realize that when you write out a check for something- you add the deduction to the register and you know that you have a check out, blah blah blah. But when you send money through a bill pay on your bank account and it used to remove the money instantly and now the money sits there for weeks - it makes it pretty difficult to see what has actually cleared and what is still outstanding. Worse yet, it makes you wonder whether they paid it or not and whether it might be late even though you set it to be paid!

One bill in particular is really ticking me off... I paid it 12 days ago. Within 24 hours I was able to login directly to the company I paid and see that my account was paid in full, yet, the money that was sent to them via bill pay still has not been deducted from my bank balance online which is supposedly a "Live" balance, updated instantly.

To me, this is nothing more than a crappy tactic to get people to make banking errors so they can collect fees; Which is why I completely cancelled the bill pay service altogether. The "online" banking feature should be a convenient way for users to view their account and see what has gone through and what is outstanding. It shouldn't be a way for banks to screw their members. I've decided that I'd rather take 15 minutes every other week to login to individual accounts and pay bills directly to the companies themselves- which incidentally comes out of my account INSTANTLY, instead of taking "7-14 business days" to update!

The banking industry just gets more deplorable each day.

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  1. SpokaneLinda's Avatar
    Our Credit Union did the same change over this last year. Those payments that are electronic are removed right away though so I have not made any big mistakes yet but you are right! It was a stupid change that I saw no use for! Thank you for saying it out load!
  2. BellyJean's Avatar
    OUrs recently did the same thing and I hate that you can NEVER tell how much money is in your account. It's just another Scam to get people to make mistakes so they can get their fees. If the gooberment wants to get involved and make laws about everything under the sun, they should do SOMETHING about these ridiculous attempts to defraud bank customers.
  3. Mariebrough's Avatar
    I bank through a credit union and everything is live whether I buy in a store or online. I can go shopping and use my debt card to pay. When I get home, it's already deducted! I know exactly how much it have in my checking AND my savings all the time & it's current/up to date! I love it!
  4. mdew2014's Avatar
    I was wondering what was going on with my bank. On top of that we have been juggling a lot due to the furlough hitting his paycheck right before the start of the school year. I had an automatic withdraw set up for the mortgage on the 1st and I forgot about some other automatic bills so the day before I knew it was going to be short. I got a check from my dad and deposited it using the app on my phone. Like always the money showed up instantly. However the next couple of days the money just sat there. I woke up this Monday to find that the amount was $29 short!!! When I looked they had sent my mortgage payment back and charged me a $29 NSF fee. When I called the bank she told me that the mortgage payment was pending before the deposit and thats why the funds were NSF. She could not explain to me why they did not pay it considering the deposit was right there waiting too. I am not a fan of overdrafts but it would have been nice to not have my payment sent back considering the money was right there waiting to be processed. On top of it all now I owe my mortgage company a $25 return fee. I am surely getting ready to go away from the bill pay and just get money orders or pay in person whereever I can.
  5. Liss's Avatar
    Our "Bank" is actually a credit union and they've changed so many of their policies the last couple of months I'm considering closing the accounts completely and moving my business elsewhere. This past week they've made it nearly impossible to login to the online banking, you are now required to verify your account via a telephone call or Text message EVERY single time you login to your bank account. I've already disabled the bill pay program in our account & switched to paying the bills directly with the companies that are owed.

    Mdew, I completely feel for you, the banking system needs a drastic overhaul.

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