08 Sep Your credit rating could get dinged
canada goose 7 Reasons To Pay Your Bills As Soon As They Arrive Lance Cothern, Money Manifesto Sep. 22, 2014, 11:28 AM If you’re paying bills by snail mail, better get on down to a mailbox. Justin Sullivan / Getty Images Today’s article assumes that you are not living paycheck to paycheck and have money in the bank to cover your bills as they come in. I pay my bills when they arrive, and here are a few reasons you should, too. 1. The money isn’t there to pay the bill on the due date. The first risk is that when it comes time to pay your bills ,the money simply isn’t there to pay it. This happens happens a lot if you aren’t using budget and and you aren’t thinking ahead. You might have misjudged the total amount of all of the bills you have to pay, or maybe a surprise bill came up. Regardless of why it happens, if the money isn’t there, you can’t pay your bill. 2. You might misplace the bill and forget to pay it. If you’re like me, you throw your mail in a pile and don’t look at it again for a few days or, honestly, a few weeks. Flat surfaces attract paper, junk, and other things. When you finally get around to cleaning up your pile of mail and other junk you realize it … darn it! You forgot to pay that bill. Another potential hazard is when your spouse/significant other cleans the house and doesn’t even notice the bill is in the stack of papers and throws it away. If this happens, you’re in a whole mess of trouble. What kind of trouble, you ask? 3. You could incur late fees. Yup www.georg-godorr.de , if you pay your bill late chances are you’re going to incur a late fee. Most late fees will eat up multiple years worth of interest at today’s rates. If that isn’t enough to convince you 2018 canada goose black friday , maybe this next pitfall will. Save yourself the stress of late payments. Shutterstock 4. Your interest rate could go up. I guarantee if your interest rate goes up on a loan or credit card because of a late payment, it is going to be a heck of a lot more than that 1% or less you are earning yearly by leaving the cash in your savings account for a few extra days. Multiply this out by the life of the loan, and you’re talking some serious cash. 5. Your service could be cut off. Forget to pay your cable, internet, land line phone (I still have one), cell phone, electricity, gas, water, or other service related bill and they can cut your service off. That would be a nasty surprise when you don’t wake up the next morning because your alarm clock doesn’t go off due to a lack of electricity. 6. The bill could get sent to collections. Is this the second notice you have received to pay that bill, because you threw the first one away? Do it again and it might go to collections over a measly $10 copay you need to pay your doctor. 7. Your credit rating could get dinged. If you’re excessively late and your debt goes to collections, your credit score will get dinged. This leads to higher interest rates on all subsequent debts to the tune of thousands of dollars over your lifetime. Want to make sure you never pay a bill late again? Check out this awesome post that shares seven ways to make sure you never pay a late fee again. It even includes a free downloadable spreadsheet! Read the original article on Money Manifesto. Copyright 2018. Follow Money Manifesto on Twitter. SEE ALSO: There's A Simple Way To Get Debt Collectors To Stop Humiliating You canada goose parka