Anonymous Posted October 10, 2002 Report Share Posted October 10, 2002 I routinely pay bills online because it's quick and easy. Well, I have noticed a little trend on the part of my credit card companies, and wanted to see if anyone else has this problem.I pay the bill online before the due date, but I'm still charged a late fee and it's recorded on my credit report as a late pay. When I've disputed the late fees in the past, I'm only marginally successful in getting those charges removed; the credit card companies say I paid late. They also state that although I'm paying online on their site via an electronic transfer of funds, it still takes several days since a third party is actually processing the transaction.I've found I've had to send the money electronically at least five days before the due date, and to be absolutely safe, two weeks in advance. Is anyone else having these kinds of late fees tacked on for using this sort of online payment function, or am I the only one getting additional debt tacked on because they like me so much? Link to comment Share on other sites More sharing options...
wohlfie3 Posted October 10, 2002 Report Share Posted October 10, 2002 I pay my bills on line every month. Some of the hold times are two days, but most of the time they post with 24 hours. Depends on if you pay before or after 3:00 p.m. Eastern time. Are these credit card payments? or are they to business like cable, telephone, etc.? Link to comment Share on other sites More sharing options...
Anonymous Posted October 10, 2002 Author Report Share Posted October 10, 2002 Wohlfie, they're credit cards. I've paid at times two days in advance and have been hit for a late fee. I'm sweating right now because I paid five in advance, and have watched my checking account to see amounts paid on a Saturday or Sunday get pulled out the following Thursday or Friday.You haven't had this happen? I'll start getting much more aggressive if it happens again in the future. Link to comment Share on other sites More sharing options...
wohlfie3 Posted October 10, 2002 Report Share Posted October 10, 2002 Is this happening every month? Have you gone over their site to see what the requirements for posting on on-line payment is?? Do they state that there is a two to five day hold on on-line payments? Link to comment Share on other sites More sharing options...
Anonymous Posted October 10, 2002 Author Report Share Posted October 10, 2002 No place on their site does it say it goes through a third party or that there will be a delay in processing. I found that information out almost two years ago when I got into trouble due to a layoff. I was making payments over the internet, and wasn't watching my bank account to determine when the money was being withdrawn. I kept getting angry calls from the credit card companies, and I'd say I paid it online, to which they'd blast me if I didn't have the confirmation number right by the phone. Even when I did give them the numbers (instead of bitching right back at them for not checking their records), they'd say they weren't valid. I'm not sure if that was a ploy to get more out of my moth infested purse, but suspect it was. They'd call me every two weeks when I got paid to make sure I paid online, and then they'd try and squeeze me for an additional amount via check. Of course I always told them no, but legitimately, I didn't have the extra they wanted. On one of these bitch back sessions, I yelled at them because they were assessing late fees when they said they wouldn't. I got some removed, but when I questioned why they couldn't remove 'em all, they said it was because I was making partials that they considered late. When I probed deeper, they told me online payments go through a third party, and when the third party transaction is completed, they get their money. I yelled at them, "for God's sake, you're your own bank!...why do you need a third party to handle an electronic transaction?!?!" They still claim to this day it's a two day process, but I'm telling ya, it's more like a week, or two if you want to be totally safe. Link to comment Share on other sites More sharing options...
kimber6337 Posted October 11, 2002 Report Share Posted October 11, 2002 Also if you are using a banks online payment call your bank and ask them, Is XYZ company being MAILED a check when I make a online payment or are the funds going EFT. We had Wells Fargo and they did it 50/50 then. Online payment still can mean a postage stamp. Link to comment Share on other sites More sharing options...
Anonymous Posted October 11, 2002 Author Report Share Posted October 11, 2002 Ohhhh.......I never got that much of an answer out of them. That's a very good point! Why even have an online payment service when you have a middleman who gets a cut for sending a check?? Seems pretty stupid of a business practice since EFT is secure and guaranteed. Link to comment Share on other sites More sharing options...
kimber6337 Posted October 11, 2002 Report Share Posted October 11, 2002 Yep Why do you think you pay a montly charge? and if you send more than x checks per month you are charge for each one? gotta pay for stamps. Not everyone is set up for EFT though and use services like PayPal - and they get charged for it, so they pass that onto you and me!I actually stopped doing online payments, I only send money orders now. Link to comment Share on other sites More sharing options...
Anonymous Posted October 12, 2002 Author Report Share Posted October 12, 2002 I never get hit with a monthly charge (at least one that I can see upfront or directly on my bill), but you're right. I've seen those "we pay your bills for you...tell us the creditor, give us the date and your checking account numbers, and you don't every have to worry." I never trusted that approach. With my luck, that's the date my paycheck didn't come through electronically for some oddball reason.I do notice most limit you to two onlines a month, but Discover allows once a week. Wonder where they're hitting me from, or are they just so desperate to get the cash flow in, they're changing the way they do business. Me thinks they'll be the next Cititbank in trouble for something. Link to comment Share on other sites More sharing options...
Anonymous Posted October 12, 2002 Author Report Share Posted October 12, 2002 I use a bank with the initials BANK OF AMERICA. It still amazes me that they have so few EFT arrangements with other banks that I want to pay. They deduct the funds for a payment from my account, and wait 'til the next day to mail the check to my payee. They earn the interest on the float while a paper check is traversing throught the mail, etc.Worse was paying the BoA VISA. Money removed from the B0A checking account on Day 1, yet the payment was not posted to VISA until 2 banking days later. Nice. Two days to move from one account to another, both internal to the same bank? (No wonder banks continue to post such high earnings).This delay caught me as well, and when I complained about the late fee when they casued the 2 day delay, B0A said you need to pay earlier! The only safe thing is to use an automatic payment for the minimum, and if you want to pay any extra send an electronic payment at your convenience. [Edit by Bull_Durham on Saturday, October 12, 2002 @ 09:28 AM] [Edit by Bull_Durham on Saturday, October 12, 2002 @ 09:29 AM] Link to comment Share on other sites More sharing options...
Anonymous Posted October 13, 2002 Author Report Share Posted October 13, 2002 I use to have this problem with a certain credit card company but it was not on line. I would mail my check on time and still was hit with a late charge. I begain noticing that my check was deposited in their account before my due date. the problem is that the CC company holds all payments (including electronic transfers) received for 3 days before posting. Reason, backlog. At least that is what I ws told by an agent for the CC company. Link to comment Share on other sites More sharing options...
Anonymous Posted October 14, 2002 Author Report Share Posted October 14, 2002 Are you paying online through your bank's online bill pay system or are you paying through each credit card's online system?I ask because there will be a difference in how they are handled.My bank that I have a checking account with, offers online bill pay for $4.95 per month. I don't use it anymore, but did in the past. When I used it, I would go in to the system, tell it who to send the money to and how much to send. Then they would actually print out a check the next business day and mail it to the company I was paying. So if that's the system you are using, this will explain the lag time.On the other hand, I now pay several of my bills using each company's online payment system. I pay 3 credit cards, my car insurance, and my cell phone this way. With each of these programs, I go to the company's web site, log in, and send them a payment either directly from my checking account, or by paying with a credit card. With all of these companies, my payments post to my account within 24 hours, except for Sundays and holidays. This is because the funds are electronically transferred from my bank to the company I am paying, unlike the bank's online system where they actually print a check and mail it.If you are logging in to each company's Web site and paying that way and are still not getting your payments credited for a week or so, they must be doing things differently. I would just make absolutely sure that you paid things at least a week before they were due in order to avoid any problems. Link to comment Share on other sites More sharing options...
Anonymous Posted October 14, 2002 Author Report Share Posted October 14, 2002 I've paid the credit card companies directly through their websites, so it's not like a middleman is cutting the check and then sending to the creditor.I'm betting a previous poster is correct....lag time. My payment was taken out of my account a few days ago, so I'll check the credit card statement to see when THEY credited the funds this time around. They send an email out saying, "yes, it was credited", but I don't trust it. LOL...Glad to see others were getting snookered in this online game. I was feeling like the only chump at the at EFT bus stop. Guess that's one more thing we really have to watch these days. **sigh**Thanks for the feedback, people. Link to comment Share on other sites More sharing options...
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