Nowadays, many people choose to automate their finances because it makes life easier. If all bills and regular transfers are made automatically, you don’t have to try to remember your billing dates yourself and don’t worry about potential penalties in case of late payments. It can bring peace of mind, because everything will always be done in time and you will not even have to spend a minute of your time. However, there should be more talk about the disadvantages of payment automation. If everything is paid automatically, the link to your money is lost and it is definitely not a positive thing. The man does not know where and how much money is being spent, but it is accepted because he believes everything is safe and proper. How exactly is this loss of linkage and whether payment automation is always the best solution?
We do not want to say that payment automation is insecure and that someone is fraudulent, but mistakes can happen because one bill goes a long way. For example, if you have automated the billing of the electricity bill, the error can be tolerated from the wrong reading of the electricity meter readings to the mistakes of the bank’s employees. If you do not look at the bill yourself, or if you only look at the total amount paid, you will not even notice that some euros were wasted every month. Similarly, there are very many bills and searching for errors is only in the interest of the recipient of the service itself. Of course, bills are not hidden from the consumer. They can be viewed at any time, and information on bank transfers is also available, but people who connect to payment automation often choose not to do so.
It’s harder to track your money
Even if mistakes are not made, payment automation can lead to the loss of money. If you don’t keep track of where your money stays on a regular basis, life-style inflation is likely to become more and more noticeable. If we keep up with the electricity bills that we have already mentioned, then, without tracking how much electricity you consume, and how much you pay for it, these numbers are likely to grow. You will end up watching how and how much electricity you consume, as you will not notice how fast your bill amounts are. For example, if you automate the billing of your phone bill, you will not notice if your mobile operator has increased its tariffs and you will pay half as much as before. After a while, you may be afraid that you will have less and less free resources. Once again, it should be mentioned that this problem can be avoided if the consumer continues to keep track of his bills, but rarely are people so conscientious.
It is almost impossible to plan your finances in the future
Finally, automating all billing makes it harder to plan your financial future. You may know how much you pay for, but you are unlikely to know the exact use of your money if you do not look at your bills. This means that you really do not know where to try to save and what to change in your spending. The only thing you can do about it is to plan your budget. In fact, if you use payment automation, budget planning is even mandatory, because it’s the only way to ‘get lost in your relationship and your money and you’re still the leader in your money now and in the future.
Overall, payment automation is a very good service that really simplifies your everyday life, but you should realize that to do it yourself, you still have to invest a little time and follow it all. You also need to review your bills, plan your budget, and make sure all payments do not increase. If you use payment automation as an additional assistant to your finances rather than simply relying on it, everything will be fine and you will not lose the link to your money and finances.