Postal rates rising again - online billpay use rises, too

More consumers are paying bills online today, and with postage rates about to climb again, those who are still mailing checks and money orders are going to take a second look at online bill pay.

For the average consumer who pays 12 creditors a month, the savings are significant:

12 $.44 stamps: $5.28
12 $.50* money orders: $6.00
Total: $11.28/month which total to $135.36/year
Add the cost of a box of envelopes: $20.00 ----------Annual billpay cost: $155.36/year

Cost of paying the bills online - ZERO

- if you have access to a bank account that will allow you to debit for your bills.

Those who do not qualify for bank accounts can open a Directo paycard account, if their employer offers direct deposit, or if they receive government benefits. Directo accounts are easy to use, and will save the accountholder hundreds of dollars a year - with online billpay, decreased fraud risk, and 24/7 access to their money.

If you're an employer, contact us to offer Directo paycards. It costs you nothing, and for your employees, the accounts could mean significant savings.


*money orders range in price according to the vendor and the dollar amount. $.50 is least expensive I found (Racetrac gas store). A postal money order from the post office for $1,000 was $1.50. Money orders must be purchases with cash - which adds risk of theft to the transaction -ed

Is your Banker really your friend? It may be time to simplify with Directo

It occurs to me as more and more people are hurt by the economic downturn, their traditional 'brick and mortar', mainstream bank may not be your best friend. While the Congress and the Treasury are bailing out banks (who made too many bad decisions while cashing in big bonuses), who is helping you when you are trying your best to keep your financial head above water? Are mainstream banks looking out for you?

And what is the old adage? When you don't really need money, your bank would love to provide a new loan, mortgage or credit card? But when you are hurting financially, when you need the flexibility and financial assistance, the bank is all to happy to say NO to you and your loan application. Meanwhile to make up for losses, banks put their Overdraft and NSF program policies in high gear. Armed with sophisticated banking software, banks are ready and willing to pounce on your first mistake. This is not the time to be 'living on the edge' financially with your checkbook. One can easily run up $28 - $36 per occurance Overdraft and NSF fees when your checking account was short this month. Has this ever happened to you?

It may be time to consider simplifying your banking needs. Consider a low cost Directo 'checkless checking account' with its accompanying DirectoCash debit card. Rid yourself of high cost checks and the mounting associated fees. Get back in control with an account that doesn't care if your minimum balance is $10 or $0.10. Work with a company that understands there may be a better way to access your funds, without the customer 'no service' hassles of a big bank. Use the product to shop or take money at the ATM without NSF or Overdraft fees.

Is it time to simplify?
BH

Does your paycard support electronic bill pay?

Prepaid Trends had a guest column November 6th on electronic bill pay, a feature gaining popularity with the internet savvy customer. Directo debit card holders have had this feature from the beginning, since 1998. Each Directo account is individually owned, and bill pay and auto debit are just some of features our customers enjoy.

The author of the Prepaid Trends article mentioned Payvox, a product that allows electronic bill pay via telephone. I've also seen small businesses, especially in Hispanic commercial areas, that offer billpay at computer terminals that the customer uses, with personal assistance for those who may not know how to operate them. Many public libraries offer their patrons computers with free internet access, and as long as the personal information is erased after using to keep information private, this is a good, free alternative.

Electronic bill pay is convenient, and for Directo paycard customers, free. The cost of postage, money orders and the time and hassle of organizing the payments are erased by learning how to manage a few keystrokes.

Directo's ease of paying bills online and scheduling electronic debits also erases the line between those who are banked and unbanked, as many who can have "brick and mortar" accounts choose the Directocash debit card because of its low cost, ease of use, and range of benefits.