
Setting your bills to autopay is a seamless way to ensure your essentials are paid in a timely manner. Nevertheless, putting some bills on automatic payments can have a very negative impact on your financial health.
So, which banknotes should you never put in Autopay? Let’s find out.
Medical bills
Medical billing is notoriously error-prone, and automatically paying all your bills without reviewing them first can lead to you paying for services you didn’t receive or being overcharged. Autopay is also non-negotiable.
Medical bills can often be negotiated lower, but with Autopay, your bill will be paid as originally billed, without considering your current financial situation.
Medical bills can be large, so you may need to prioritize other emergency expenses or negotiate a payment plan.
Do not miss it: 10 money-saving hacks that don’t always work
check out: The ghetto tax is real.Poor people can pay more than $1,000 a year in taxes
mobile phone
Autopay is a nice feature when you’re on a flat rate or unlimited plan, but it can quickly become a problem when your cell phone bill fluctuates.
Most cell phone rates fluctuate monthly depending on your data usage. If you use more data than usual in a month, your cell phone bill will accumulate and you’ll end up with more money being debited from your account than you expected. If you accumulate a large number of bills, you may end up in an overdraft and be charged bank fees.
Similarly, some cell phone plans do not have monthly billing dates. You may want to pay your bill in the second week, but your cell phone plan bill may be debited early and you may end up in an overdraft.
Since you pay your mobile phone bill automatically, you won’t have to check your mobile phone bill every month. Therefore, if there is a billing error, automatic payments may result in you paying more than you should.
Variable loan or mortgage
This type of loan has variable interest rates, so your monthly payments may change. If you use automatic payments, you may not notice these changes right away, which can disrupt your budget planning.
A significant rise in interest rates could put unexpected financial strain on your finances. By paying these bills manually, you’ll have a better idea of your current interest rate and payment amount, so you can adjust your budget accordingly.
After all, automatic payments may process payments at times that aren’t optimal for your financial situation, potentially incurring overdraft fees or running out of funds in your account.
annual subscription
Most entertainment services like Netflix, Amazon Prime, and Spotify provide the information you need to get through the year. Despite this, we often forget that these services support automatic payments, resulting in huge deductions from our accounts.
A budget-friendly tip is to purchase these services on a monthly subscription. A C&R Research study concluded that 42% of participants continue to pay for subscriptions they no longer use. In this situation, a monthly subscription gives you more control.
If you feel that you no longer wish to use the Service, you may cancel. You may have to pay an extra $1-2, but you’ll save much more than you would with an annual plan.
By the way, there are many other sites like Netflix where you can watch movies for free.
Infrequently used accounts
The main reason is that these accounts are not part of your regular payment cycle, so it’s easy to forget about them. If such accounts are set up for automatic payments, fraudulent charges or errors may go unnoticed, leading to potential financial loss.
If you do not monitor these accounts regularly, you may not notice changes to your charges or terms right away.
Also, if you have an account on Autopay that you rarely use, you could end up paying for services you no longer need or use. This is especially common with subscriptions or memberships.
By regularly reviewing these bills and paying them manually, you can assess their ongoing value and necessity, potentially saving you money.
public works
Bills for electricity, gas, water, etc. fall under utility charges.
Utility expenses are the most important item in running a household budget, and they tend to fluctuate rapidly. People who use automatic utility payments often report that more costs have been removed from their accounts than they expected.
If you use a lot of utilities during the month, setting these bills to autopay puts you at risk of going into an overdraft.
The best thing to do is to follow your utility company’s budget plan if it suggests one. If your utility company doesn’t sponsor your budget plan, it’s best to go back to a one-time payment.
Setting up one-time payments helps you manage your finances smarter by allowing you to review payments and spot discrepancies.
internet
Just like your mobile phone bill, your internet or broadband bill will fluctuate based on your data usage. If your monitored dosage falls within the limits set by your plan, it’s safe to set your internet bill to automatic payment.
Nevertheless, internet companies are free to raise prices as they see fit, as they are not required to follow government-regulated prices. Even if you haven’t exceeded your data usage limit, a rate increase may result in more money being debited from your account.
Therefore, it’s a good idea to review your internet bill every month to make sure you’re not paying more than you expected. It’s important to check your monthly internet bill, especially if you signed up for a service at a promotional price.
gym membership
Going to the gym is a great way to stay in shape and lose excess weight. However, if you are not careful, you could end up losing more than that.
Unless you’re a gym buff, people usually spend less time at the gym than you expect. So there’s no point in paying for a service you don’t use often.
Most gym memberships aren’t very expensive, but paying for one can be a pain in your pocket. These dues charges are often a no-brainer and can put you at risk of overdrafting if your account has limited funds.
Instead, getting a monthly gym membership will give you more control over your spending. You are free to cancel your membership at any time when you are not using it, while continuing to visit the gym frequently.
credit card bill
Credit card bills can be a hassle, especially if they’re set up for automatic payments. You must cover at least the minimum payment amount, so if you are set to automatic payments, your credit card bill may be deducted from your account regardless of whether there is enough money to cover the payment. there is.
To maintain a healthy financial health, it’s best to self-manage your credit card bills. Smart credit card management also lets you see your purchases, so you can only buy the items you need with your credit card and exclude other purchases.
car insurance
Car insurance is only charged once or twice a year, but it can often be quite expensive.
If your car insurance bill is debited from your account when your balance is low, you’ll end up with a huge overdraft and a hefty rebate fee. In addition to large amounts being debited from your account, car insurance premiums often change prices frequently.
If you need to pay your car insurance premiums, it’s better to pay them manually. Reviewing your bill before renewal can help you understand whether you need services and consider more budget-friendly options.
Dollar Sanity details:
15 things you should stop doing to save money
13 Best Budget Planners for Beginners
12 stores where you can reserve items for wallet-friendly shopping


Hello, I’m Ashley, a freelance writer with a passion for personal finance. Since I was young, I’ve been fascinated by the power of money and how it shapes our lives. I spent years learning everything I could about budgeting, saving, investing, and retirement planning. So if you’re looking for tips, advice, or a little bit of inspiration to help you on your financial journey, you’ve come to the right place. I’m always happy to help. I’m excited to share my passion for personal finance with you.