Putting bills on Autopay can be very convenient. It can also lead to unpleasant surprises. Certain things like your mortgage or rent, car payment, and insurance premiums are convenient, and the same amount month after month. Financial experts recommend you not put the following bills on Autopay.
#1 Utility bills can very month to month, and you could get a rude surprise, possibly resulting in overdrafts and the accompanying fees.
#2 Smartphone. If you’re not on an unlimited plan, your bill can very month to month, and you could end up with a big surprise.
#3 Credit card bill. Once again, it’s not a fixed amount and you could be drafted for a lot more than expected.
#4 Gym membership. A couple factors to consider. Many people sign up for gym memberships, then don’t use them as much as expected. Cancelling gym memberships can be a real pain. Remember how much fun it was trying to cancel AOL?
Source: Yahoo Finance
Blog by Steve Wiley