Comments on: Confession: I pay installment fees http://www.punchdebtintheface.com/2009/07/confession-i-pay-installment-fees.html A less crappy personal finance blog Mon, 22 Mar 2010 08:29:45 +0000 http://wordpress.org/?v=2.9.2 hourly 1 By: Matthew Cokley http://www.punchdebtintheface.com/2009/07/confession-i-pay-installment-fees.html#comment-3569 Matthew Cokley Sat, 23 Jan 2010 08:50:11 +0000 http://www.punchdebtintheface.com/?p=126#comment-3569 What a amazing post. What a amazing post.

]]> By: Carnival of Personal Finance: New Zealand Edition! | Man Vs. Debt http://www.punchdebtintheface.com/2009/07/confession-i-pay-installment-fees.html#comment-2258 Carnival of Personal Finance: New Zealand Edition! | Man Vs. Debt Fri, 11 Dec 2009 13:53:57 +0000 http://www.punchdebtintheface.com/?p=126#comment-2258 [...] Debt Ninja from Punch Debt In The Face presents Confession: I pay installment fees! [...] [...] Debt Ninja from Punch Debt In The Face presents Confession: I pay installment fees! [...]

]]> By: eemusings http://www.punchdebtintheface.com/2009/07/confession-i-pay-installment-fees.html#comment-1003 eemusings Fri, 17 Jul 2009 01:14:22 +0000 http://www.punchdebtintheface.com/?p=126#comment-1003 Can't STAND direct debits! (what we call EFTs i suppose). Why would you trust anyone to have access to your account if you can help it? I guess I speak from experience having been burned once (and that was enough, lol. Was for about $60 or something, by an old utility company who billed me for an extra month after I moved out of a place). <br /><br />Yeah, it's a nightmare if things go wrong - it's not that easy to straighten them out. I also agree that it's not good for varying amounts, or if you're not the kind to keep a close eye on your account (unless the company sends you reminders just before they take the payment out).<br /><br />Definitely try setting aside money every month! That's what I try to do. One day I'd like to be able to be a whole year ahead and pay upfront, annually. On my Visa, of course, for the rewards :) Can't STAND direct debits! (what we call EFTs i suppose). Why would you trust anyone to have access to your account if you can help it? I guess I speak from experience having been burned once (and that was enough, lol. Was for about $60 or something, by an old utility company who billed me for an extra month after I moved out of a place).

Yeah, it's a nightmare if things go wrong – it's not that easy to straighten them out. I also agree that it's not good for varying amounts, or if you're not the kind to keep a close eye on your account (unless the company sends you reminders just before they take the payment out).

Definitely try setting aside money every month! That's what I try to do. One day I'd like to be able to be a whole year ahead and pay upfront, annually. On my Visa, of course, for the rewards :)

]]> By: Punch Debt In The Face http://www.punchdebtintheface.com/2009/07/confession-i-pay-installment-fees.html#comment-948 Punch Debt In The Face Thu, 09 Jul 2009 21:00:30 +0000 http://www.punchdebtintheface.com/?p=126#comment-948 @ Anonymous 1- I agree it is stupid to throw away the money as it all adds up over time. I will probably throw down one lump sum to get rid of it. <br /><br />@ Anonymous 2 - Your EFT horror story is enough to keep me away from messing with it. I think I will take you up on your fourth option and start saving for my next policy renewal. @ Anonymous 1- I agree it is stupid to throw away the money as it all adds up over time. I will probably throw down one lump sum to get rid of it.

@ Anonymous 2 – Your EFT horror story is enough to keep me away from messing with it. I think I will take you up on your fourth option and start saving for my next policy renewal.

]]> By: Anonymous http://www.punchdebtintheface.com/2009/07/confession-i-pay-installment-fees.html#comment-944 Anonymous Thu, 09 Jul 2009 20:00:20 +0000 http://www.punchdebtintheface.com/?p=126#comment-944 Here is my EFT horror story.<br /><br />I signed up for a two year gym membership (I know, big mistake...), but that's not the problem.<br /><br />After the two years was up, they continued to charge me.<br /><br />Obviously, I was not a happy camper. I went to the gym, who said they could do nothing because they outsourced their billing.<br /><br />So I called up the billing company, and got a copy of my contract. After the two years was up, they had automatically signed me up for another THIRTY years.<br /><br />At this point, I did have the option to cancel, but only after providing more than 30 days notice, which meant that I had to pay another month's bill before I could cancel.<br /><br />I would definitely avoid EFTs (except for student loans like you mentioned).<br /><br />When you give any company automatic access to account, you take away your first line of defense - reviewing your bill. It's a lot easier to argue about a bill before you pay it than it is to try to get a refund.<br /><br />Can I suggest a fourth option - put away money each month, to difuse the impact of the six-months-at-a-time bill? Here is my EFT horror story.

I signed up for a two year gym membership (I know, big mistake…), but that's not the problem.

After the two years was up, they continued to charge me.

Obviously, I was not a happy camper. I went to the gym, who said they could do nothing because they outsourced their billing.

So I called up the billing company, and got a copy of my contract. After the two years was up, they had automatically signed me up for another THIRTY years.

At this point, I did have the option to cancel, but only after providing more than 30 days notice, which meant that I had to pay another month's bill before I could cancel.

I would definitely avoid EFTs (except for student loans like you mentioned).

When you give any company automatic access to account, you take away your first line of defense – reviewing your bill. It's a lot easier to argue about a bill before you pay it than it is to try to get a refund.

Can I suggest a fourth option – put away money each month, to difuse the impact of the six-months-at-a-time bill?

]]> By: Anonymous http://www.punchdebtintheface.com/2009/07/confession-i-pay-installment-fees.html#comment-943 Anonymous Thu, 09 Jul 2009 19:26:55 +0000 http://www.punchdebtintheface.com/?p=126#comment-943 This is an excellent example of what I wrote about in a Crown Magazine article titled "How I paid off my mortgage with peanut butter and jelly sandwiches." Simply adjusting the payment method to cancel the monthly fee is good. Even better is to use the Index Card System. Write the months January through December on index cards and the amount of $5 on each. Then treat that card like a regular bill and send the $5 towards some other existing debt. Then punch that debt in the face and knock it out that much sooner. <br /><br />Your blog is awesome!<br /><br />Bill Provenzano<br />The Christian Trading Coach This is an excellent example of what I wrote about in a Crown Magazine article titled "How I paid off my mortgage with peanut butter and jelly sandwiches." Simply adjusting the payment method to cancel the monthly fee is good. Even better is to use the Index Card System. Write the months January through December on index cards and the amount of $5 on each. Then treat that card like a regular bill and send the $5 towards some other existing debt. Then punch that debt in the face and knock it out that much sooner.

Your blog is awesome!

Bill Provenzano
The Christian Trading Coach

]]> By: Punch Debt In The Face http://www.punchdebtintheface.com/2009/07/confession-i-pay-installment-fees.html#comment-932 Punch Debt In The Face Wed, 08 Jul 2009 23:39:52 +0000 http://www.punchdebtintheface.com/?p=126#comment-932 Well isn't this interesting. I was leaning towards setting up the EFT to save the installment fee, but it seems that there can be issues on canceling it or having it adjust if the balance changes. I might have to take Donnie and Calquists advice and just pay the balance in full instead, although I do hate departing with such a large chunk of change. <br /><br />Thank you all for your epic responses I always take them in to consideration! Well isn't this interesting. I was leaning towards setting up the EFT to save the installment fee, but it seems that there can be issues on canceling it or having it adjust if the balance changes. I might have to take Donnie and Calquists advice and just pay the balance in full instead, although I do hate departing with such a large chunk of change.

Thank you all for your epic responses I always take them in to consideration!

]]> By: FB @ FabulouslyBroke.com http://www.punchdebtintheface.com/2009/07/confession-i-pay-installment-fees.html#comment-931 FB @ FabulouslyBroke.com Wed, 08 Jul 2009 23:25:45 +0000 http://www.punchdebtintheface.com/?p=126#comment-931 If it is not a set amount like $120 a month or if it's something you want to cancel later.. then EFTs can be a nightmare<br /><br />I once tried to do a EFT on my cellphone bill and was accidentally charged $500!!!!<br /><br />Needless to say, I pay everything ad hoc. If it is not a set amount like $120 a month or if it's something you want to cancel later.. then EFTs can be a nightmare

I once tried to do a EFT on my cellphone bill and was accidentally charged $500!!!!

Needless to say, I pay everything ad hoc.

]]> By: calquist http://www.punchdebtintheface.com/2009/07/confession-i-pay-installment-fees.html#comment-930 calquist Wed, 08 Jul 2009 19:23:23 +0000 http://www.punchdebtintheface.com/?p=126#comment-930 I will hunt you down and slap you if I find out that you pay another installment fee. Sure $60 isn't going to put you on the street, but it is your $60!<br /><br />EFTs can be a bad thing if you sign up for absolutely everything with them. They are also bad if you are lazy and do not keep up with bank accounts and wouldn't discover a bad charge until months later. As long as you are not using a shady insurance company like The General or 1800SAFEAUTO, you will be fine when it comes to canceling and setting up an EFT is in your best interest. (I will also accept paying it off in 1 lump sum as a tolerable solution). I will hunt you down and slap you if I find out that you pay another installment fee. Sure $60 isn't going to put you on the street, but it is your $60!

EFTs can be a bad thing if you sign up for absolutely everything with them. They are also bad if you are lazy and do not keep up with bank accounts and wouldn't discover a bad charge until months later. As long as you are not using a shady insurance company like The General or 1800SAFEAUTO, you will be fine when it comes to canceling and setting up an EFT is in your best interest. (I will also accept paying it off in 1 lump sum as a tolerable solution).

]]> By: MoneyFunk http://www.punchdebtintheface.com/2009/07/confession-i-pay-installment-fees.html#comment-929 MoneyFunk Wed, 08 Jul 2009 18:20:33 +0000 http://www.punchdebtintheface.com/?p=126#comment-929 Ya, I don't like EFTs because I have to make sure I remember when its going to be taken out of my account. Fortunately, I don't have any horror stories. <br /><br />But, I opt for Online Bill Pay. Its my GodSend. :)<br /><br />Really, you get charged an installment fee? Never had that problem. Hmmm... Ya, I don't like EFTs because I have to make sure I remember when its going to be taken out of my account. Fortunately, I don't have any horror stories.

But, I opt for Online Bill Pay. Its my GodSend. :)

Really, you get charged an installment fee? Never had that problem. Hmmm…

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