AutoPay Clark with good reason, has said NO to having the Credit Card company deduct the monthly payments from a personal bank / checking account.
I’ve been going “against his rule” for ages, and I never had a problem with it, and it has been very convenient. That said, I do agree with Clark’s position to NOT do it that way, to avoid the possible problems it could lead to as he discussed in a recent article.
Hello,
When you change bank accounts or credit cards, it can be a hassle to update your automatic payment settings. Keeping payments manual lets you be more aware and proactive about these changes. I think this type of incident you have !
I haven’t changed any of those in 40 years. I am one of those rare birds who is content with their credit card “rewards” program, even though some others may be more lucrative. I have set my credit card an utility payments to autopay the balance on the due date, and I’ve done that for 20 years. with no problems at all.
One thing that someone might consider that goes against Clark’s advice are people who do carry a balance. A lot of cards may hike your interest rate for even one late payment as well as assess a late fee. Another would be those special financing “same as cash” cards. If the expiration date passes and there is even $1 left, you will be charged interest for the full amount at an exorbitant rate. Setting up autopay with the card can help avoid that and you never have to think about it.
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