Timing Your Debt Payments

Paying your bills on time is often a monthly juggling act, especially if you are experiencing money troubles. Since we all know the importance of paying bills on time to avoid debt default and credit damage, there are a couple of tricks to help you stay on track each month:

Create a spreadsheet— Very few people use checks and a checkbook register these days, as most people tend to bank online. If you are one of these people you can still keep a close eye on your expenses by creating a spreadsheet of all your bills, listing out their due dates. Post the spreadsheet in a common location in your home or office so that you can review it often, taking note of when a bill is due.

Set alerts— Most of us use our Smartphones for just about everything these days, including banking. Many of these phones are equipped with a calendar and alert system, which can be used to notify you on an upcoming bill due date. Enter the due date of your bill, preferably a week prior to the actual due date, and set the alert to repeat each month. This way, you can put your due dates out of your mind, just be sure to pay them when your alert sounds.

Allow for autodraft— Another easy way to make sure you pay on time is to set up an automatic payment system with the provider. Most of your expense account holders offer automatic payment options, which can make sure your payment is made on time every month with little effort on your part. However, it is important to monitor your checking account to ensure you always have enough money to cover these automatically drafted payments.