Online Banking and Bill Paying

[madmax]

Sorry, I didn't know where to stick this - NO WISECRACKS!! I know you guys! ;)

Well, it's Tax Time and I'm up to ass in paper. There must be a better way. I'm thinking about online banking and bill paying. I could save records to hd or cd and maybe my life would be a little more organized.

I also think it would help me keep track of where the hell my money is going. Although, unlike Bremmer - I'd know where the hell 12 BILLION went. If I had 12 billion ;p

The past few months I've been charged 9.99 to a credit card for some idiot service I never signed up for and I didn't notice the small amount until this month. They've been charging me this since June '06.

Any horror stories I should know about?

As a public service announcement this website contains information about Complete Home Service and Trilegiant - the company that has been charging my credit card. Check your statements carefully. Some have been charged 99.99 - I was luckier.
http://www.consumeraffairs.com/scam_alerts/trilegiant_complaints.html

[freethought]

1. I have been e-banking and online bill paying

For more than a year. There have been no problems as of yet. I went with a regional bank in my area
and have stayed away from some of the big national banks like BankAmerica. Thus far, I give the service a thumbs up. For the following reasons
-With Direct deposit, I don't have to worry about getting to the bank before it closes, its all automatic
-With online bill pay I sit down in front of the PC and in about 15-20 minutes my monthly bill paying
is done. Since I can also pick the dates of payment, it easy to make sure that payments get to creditors on time. Very important since credit cards will nail you with late fees even if your like
5 seconds late on a payment.
-I have also filed my taxes online and had no problems. If you get a refund the process moves alot faster. Software like Turbo Tax will also do state tax returns as well, I believe for a nominal fee.
Print up the forms when your done and keep them on file.

Thus far my online banking/bill paying experience has been good. There are a hundred different ways someone can get a credit card number. If you dispose of your CC statement make sure they are very well torn up or burned.

[Catshrink]

3. Ditto

I pay everything online now that my car loan company finally allows it. I use BofA online banking and have had no trouble with them -- everything goes very smoothly.

I also use TurboTax and filed on Saturday. According to them, I should have my refund in a week.

I also use Quicken and can download my bank activity directly into my Quicken file. When I went to do my taxes, Turbo Tax fetches my data from Quicken and I just answer a bazillion questions.

Online is the only way to go!

[madmax]

6. Bought Quicken last week.

Don't know how to use it yet but, thanks for the tip. Next years taxes should be a breeze compared to this year.

Got TurboTax the other day. Gathered all the receipts, W2's, etc. Hopefully tomorrow I can sit here and work it out.

I've already got a headache!! ;) Thanks for sharing. :hi:

[Catshrink]

9. Use default categories...

I think that's the way it starts out. When you set up your own, be sure to assign a tax line if it has tax implications. That makes the Turbo Tax interface much smoother. There's a learning curve with Quicken, but it's very intuitive. Their help system is pretty good -- but beware that Quicken is a very efficient marketing organization. You'll be getting a lot of stuff from them. Even when you click on what you think is an info box it could lead to an ad for another intuit product. Make sure you check the box "don't bug me again" and eventually they'll go away.

Check out the scheduling feature. I have a couple of things automatically paid and I just set it up to enter them on the appropriate date each month. It's really a time saver -- and I don't forget.

Good luck. PM me if you have questions. I've been using it since the early 90's -- and I used QuickBooks, too.

[Dean Martin]

10. Can you use one copy of Turbo Tax for more than one return?

Could I buy TT, do my taxes, then use it for my fiance's taxes?

[Catshrink]

11. Hm... I'm not sure about that.

I've used the online version for the last couple of years. I'd try their website and see if it says anything -- or read the box. It's probably okay, but you'll obviously have to efile separately and pay for each submission.

You can certainly use Quicken for more than one file/person. I used to do my Dad's finances and had a separate file for him.

Good luck!

[freethought]

16. You might be better off using the online version

There are changes, reforms, and tweaks done to the federal tax code every year. That means the software has to be updated with it. If you use the online version those applicable updates are, or should, be written into the software code.

I have used TT for a couple of years and there haven't been any audits yet. TT will also conduct a test that will analyze your return for any of the risk factors or "red flags" that may trigger an audit.

[Dean Martin]

17. I may try it

But then again, I've already filled out mine using the standard paper forms and I can't see spending extra money to get TT when I already owe the Feds money as it is.

[Bunny]

31. Yes, definitely. I've been doing my taxes and my ex-SO's taxes

for years, using the same Turbo Tax program. The software costs about $20, it does both of our taxes, so it's well worth it. You could almost certainly do more than two also, if you're in that situation.

[Dean Martin]

43. Great, thanks!

I believe my bank offers it to me at a discount for download. I'll check it out!

[madmax]

13. Catshrink - you really know your stuff!

I've been thinking about this for a year now but I needed a new computer so I waited. Now I have the hardware and software to simplify my life. I hope.

I'm going to play around with Quicken and get my act together as far as a budget and bill paying. I'm so tired of looking for a canceled check or a receipt in this desk, or that drawer. It's very aggravating and time consuming.

Thanks for your offer.

[madmax]

4. Thanks!

I bank with Bank of America also and have my mortgage with them. I do have some automatic withdrawals set up such as my mortgage and my husband has his paychecks direct deposited. I'm glad you're happy with them - I'll give it a whirl.

:hi:

[Catshrink]

20. About paychecks...

you can set up a paycheck so that it automatically records all of the deductions. Set it up once and you're done. Even if the amount varies, do it anyway. The categories will be there so all you need to do is adjust the amounts.

[madmax]

24. By deductions you mean payroll

taxes, etc.? I'm a little dense.

[Catshrink]

44. Exactly...

fed, state, fica, medicare, etc. It's pretty sweet.

[Left Is Write]

2. I pay bills online and bank mostly online. Mr. LIW uses Quicken to track our budget.

Call your credit card company and request an immediate stop to the monthly charge. You may want to look and see if the card issuer is one of several that have been dinged with class-action lawsuits for sneaky practics - if it is, you might be eligible for a settlement.

[madmax]

7. Yes, they have.

I filed a complaint with Consumer Affairs. The credit card refunded 3 months back but, I'll have to write if I want it all back. I'm writing. It's only 10 bucks but, they've pissed me off!! I told the bank to STOP debiting my account with these charges from now on. Hope they follow thru. If not, I'm cancelling my card with them and filing a complaint against them, too. lol. As a friend of mine would say, "Sue the Bastards!" He was a lawyer, lol.

[Catshrink]

21. Any way you can leave the account open?

Even if you have no balance? I'm thinking of how this might affect your credit report. Closed accounts are supposed to have a negative effect. I don't know much more about this but thought it worth mentioning. Of course, if they're going to charge you even if you have no balance, I'd close it too and to heck with the credit report. I think they'll note it as "closed at customer request" which shouldn't look as bad.

I'm sure someone out there in DU land can give you a more precise answer.

[AirmensMom]

22. I have lots of closed accounts.

As you said, they show up as "closed at customer's request". And I have an excellent credit rating, so I'm sure it doesn't affect that.

[madmax]

29. Not sure how credit reports work.

We have very good credit which took years to build. I probably wouldn't cancel this credit card because it's one of those 'Rewards' type cards. We charge everything - hardly use cash. The 'Thank You' rewards build up pretty fast. Last year we accumulated enough to get a 700.00 snow blower and I used a 100.00 reward to buy an AIO printer.

It's a CitiBank 'Driver's Edge' rewards credit card. They also have on called 'Diamond Preferred' rewards.

CAUTION: You have to have strong will power each month to pay the bill in full or you could end up accumulating massive debt. Sometimes I choke writing out the check but, I do it anyway.

[The Velveteen Ocelot]

5. I love on-line banking and bill-paying.

I do it through my credit union; it's a great convenience. Cheap, too.

[madmax]

8. I'm sold!

Glad you all like online banking and bill paying because right before I posted I signed up with my bank and then started having second thoughts.

I know I can count on DU'ers to come thru with information and insight. :loveya:

[Lars39]

12. I was hesitant at first,

but the ability to check one's account activity every day is a necessity, what with identity theft, etc.
What initially sold me on it was finding out that our banking account was on-line anyway for the banks' convenience.

[madmax]

14. You're so right

I just signed up tonight - checked my balance and find out I only have $5.80 in my checking account!!! :crazy: I've got to put some money in the bank tomorrow a.m.!

[dropkickpa]

15. I now write no checks - EVER!!!

Last one was written for this months rent, now gonna pay even that online. I SUCK at paper banking. Bouncy bouncy bouncy checks everywhere cuz I can't balance my c-book, not a problem because everythiong gets taken out immediately right where I can see it. I LOVE the convienience of doing it all in one swell foop.

I have no credit cards.

I get paid 1x/month direct deposit, so the online stuff is awesome, as I set the pay dates for when it gets deposited, and viola! 30 days of no bill worrying.

I've been e-filing since it became available, so I obviously like that, too!

[madmax]

25. I've gotten it worked out so that

my bills are due anytime after the 5th of the month. I like to pay everyone on the 1st and not have to think about it until next month. With online bill paying it's going to be extra easy

When due dates were scattered throughout the month I always messed up somewhere. Can't find a stamp, stuck in the visor of the car and forgot it, yada yada.

[crispini]

18. I do all of my online banking through Bank of America

All of my bills are payed automagically. It's a godsend. I don't miss bills anymore! Yay!

[RebelOne]

19. Online banking and bill paying is great.

And you don't have to save your records to a HD or a CD. The bank has all the information stored and you can access it.

[madmax]

26. But, it's only online for 6 months, right?

I thought that's what I read. I hope that's true because I need statement from February of 2006.

Last night I just quickly scanned thru the online banking info.

[AirmensMom]

23. I love online banking.

I've been using it for several years and paying my bills through my credit union's billpay service. It's great! Not only do I get to choose the date I want the payment to show up on, but they'll go to bat for me if the payee decides not to post it. And they'll pay any late fees if the problem was their fault.

I've used Microsoft Money and Quicken. Right now I'm using Quicken because they make a Mac version. I like them both.

TurboTax is also the way to go, unless you have a very complicated return (like we had to last year). It can do most of the hard stuff. It's just that some things require personal attention from an accountant. Generally, though, you just follow the bouncing ball. The accountant we went to last year looked at my TT returns from 3 years back and didn't find a single error, even though we had sold some stock and exercised some stock options ... which can be tricky.

[madmax]

27. I haven't done my own taxes

in years because it was a bit complicated. I decided to try TT this year because my son said it was great. However, I may have to turn to an account as something came up that's going to make it complicated again this year. <sigh>

[AirmensMom]

28. You never know.

TT does handle a lot of complicated things. In any case, good luck! :hi:

[madmax]

30. Thank you, AirmensMom

So you have a son in the service now? Seems obvious due to your nickname.

[AirmensMom]

36. Not all airmen are male.

They call the female ones airmen as well. I have a daughter in the Air Force ... and a son-in-law, her husband. Thanks for asking.

[madmax]

45. My bad

:) I'm still stuck in the 60's.

[yellowdogintexas]

32. LOVE online banking.

I was hesitant at first but am now a convert.

I have my mortgage drafted 1/2 every other week by my mortgage co., and my bank automatically drafts and pays my car insurance and car payments on a designated date. Otherwise, I open my bills with the mail, select the draft date and amount I wish to pay and the rest is taken care of. No stamps, no worry about mail time and my bank allows me to do a payee sort so I can see what I paid to specific payees over a particular time frame. Very handy when collecting charitable donations at end of year.

I use my local bank, which is a credit union. The service is flawless, the site is very user friendly and I can move money around from checking to savings or vice versa with a click of the mouse.

The only paper checks I write are the copay at my doctors because she doesn't take plastic of any kind (no debit cards allowed there), and my church. Saves a ton of money on check printing every year, and the online banking is free.

[madmax]

34. Smart move with that bi-weekly mortgage.

Saves interest and pays it off earlier. We're thinking of doing that but we would have to refi and change banks. May or may not be worth it. We'll see. Thanks for your input.

[azmouse]

42. Just add extra principal to each mortgage payment.

It doesn't cost a thing to do, no refi needed and you can pay off your mortgage faster without any extra fees.

[madmax]

33. Re: Online bill paying

My husband's salary varies from week to week. His check is direct depostited every 2 weeks.

Should I set up the bill paying with the bank or pay the bills directly through their online system?

I think I'd like to pay online directly to each company rather than set something up with the bank. I'm confused because the amounts vary from month to month.

I already have them debiting my account for the mortgage but...

Now since I'm confused - I'm sure I've made this clear as mud. :silly:

Wait til we get to the questions about Quiken. I haven't really started to play around with that puppy.

This is the sad part. I worked for a major airline for 15 years. I did the schedules and payroll for 600+ employees in NYC and did it all with paper and pencil. Everything else was computerized!!! That's why I'm such a computer idiot. Everyone learns some skill at work that they carry with them - not me!

[Nicholas D Wolfwood]

40. Set up bill paying through the vendor, not the bank

If there's an error with the bank, you'll still be responsible for late fees. However, if, for example, your credit card company had issues with their system, you will have recourse if there's a problem.

Do NOT have anyone directly debiting from your account, however. If they screw up, and it happens a lot, you could find our account very short of a lot of money. Take the time each month and process the payments yourself.

[madmax]

46. Ok, that's they way my son does his.

I didn't know he's been paying online for a few years.

[Bunny]

35. I've been doing online banking for years, and I totally love it.

I could never go back to paper,ink, and postage stamp bill-paying. I get paid every two weeks, and I'm salaried, so I set up my account to pay half of each bill every two weeks, so that my expenses are fairly even from paycheck to paycheck.

I used to hate it when one paycheck each month was completely eaten up by bills, and the other one wasn't. This way, the money going in every two weeks remains the same, and the money going out also remains mostly the same (except for seasonal variations in utility bills, etc.) It's so much easier to budget for stuff this way.

[bbernardini]

37. I do a lot of online bill paying, but you need to be careful...

The amount of our mortgage bill was changed due to a reevaluation of the escrow account and the payments into it. We never looked at our bills, so the automatic payment went for several months paying the wrong amount. They took the difference out of the leftover escrow money. When that money ran out, they called to let me know that I hadn't paid the full amount. Took an afternoon to fix the problem.

[Rosemary2205]

47. Online bill pay and automatic debits are 2 different things.

On online bill pay you go to your bank's website and tell them you want to pay this particular bill for this particular amount on this particular day. It's a one time thing. It's not an automatic every month set up.

[Jimbo S]

38. I refuse to e-bank.

I still write checks - about 8 to 11 a month.

Keep track of my finances the old fashioned way - ledger and journal.

Call me a Luddite if you will, but *I* will be in control of my money. The computer will NOT be in control of me.

[Nicholas D Wolfwood]

39. Uhm, who do you think controls the computer?

Or do you have gnomes that visit your house when you sleep?

[Jimbo S]

49. When bills are done on auto-pay

yeah, who controls the computer? The person behind it who makes mistakes? I've heard of stories of payments getting screwed up and the difficulty of getting it straightend out.

[Nicholas D Wolfwood]

50. So don't use auto-pay.

You're right - a lot of mistakes happen with that, which is why I don't use it. But you don't have to use auto-pay to use online bill paying. They are two separate things.

[azmouse]

41. I don't do my banking or bill paying on line.

I've had my computer go down. How can you pay bills if your computer isn't working?
I'd rather just do it the old fashioned way... write checks and put them in the mail. It doesn't take that long and like the ritual. Maybe some day I'll feel differently about it but right now I don't see any need to change.

[madmax]

48. Lately, it's become a pain.

Seems every month there's a problem and I have to find a statement or a check. Now it's tax time and while gathering my tax receipts I'm looking for a credit card statement for Feb 06. Of course I have all 11 months EXCEPT Feb. That one has a 2,500.00 medical payment.

A few months ago I found myself spending 3 days shredding 10 years worth of paper statements, checks, etc.

I'm looking for ways to simplify my life. ;)