Many consumers don’t bother trying to earn credit card rewards because they appear to be too complicated and time-consuming. It takes a lot of effort to choose which rewards or cashback credit card will best suit your needs in the first place, and even then, you must figure out how to put your benefits to use. If you try to handle too many cards or loyalty programs at once, you may become overwhelmed – or worse, you may lose track of your points.
There are various ways to make the process much more orderly if your objective is to maximize credit card rewards but you don’t want to put in the effort.
What does it mean to automate your credit card payment?
Automating your credit card bill is setting up a regular payment that takes the same amount of money from your bank account on the same day each month. You have the option of paying a fixed amount each month or paying the statement balance, current balance, or minimum payment (which fluctuates every month).
Setting up auto payments for credit card bills is a simple process. This can be accomplished by logging into your account online and instructing your credit card issuer to deduct the payment from your bank account on a monthly basis.
How can I set up a credit card bill auto-debit facility?
The advantages of using an auto-debit tool to pay your credit card payment appear to outweigh the negatives. Let’s have a look at the several options for setting up an auto-debit facility.
For registering for an auto-debit facility, each credit card issuer/bank has its own method.
There are two main ways to sign up for the auto-debit service.
1) Set Up an Auto-Debit with Your Credit Card Issuer: You can set up an auto-debit with your credit card issuer. To enable the auto-debit feature, download the NACH (National Automated Clearing House) form, fill it out completely, and send it to your card issuer together with a canceled check leaf. While filling out this form, you have the choice of paying the whole amount, the minimum amount due, or a fixed sum from the options listed above.
2) Through Your Bank’s Internet Banking Service: You can also use the internet banking channel to set up an auto-debit instruction. You may access your account by logging into your account and selecting your credit card issuer like any other regular biller and setting up an auto-pay instruction.
Your bank can set up online bill pay for you. You must share your account information with the bank for each creditor in order to do so. Each month, the bank will deduct the appropriate amount from your account to pay your bills.
You may set up autopay to pay your credit card bills on a regular basis. To avoid overdraft costs, simply confirm that the bank account has a sufficient amount before initiating the auto-debit.
Signing up for a programme called Debitize is another option to automate your credit card transactions and payments while staying out of debt. This service provides “credit card benefits without credit card debt” by paying your credit card bills directly from your checking account.
The nicest part about it is that it’s completely free. All you have to do now is link your credit card accounts to your checking account after you’ve opened an account. You’ll then use your credit cards as usual, and Debitize will make periodic withdrawals to cover your expenditures over time.
Because everything is automated, you may earn rewards and use credit card benefits like guaranteed returns, extended warranties, trip cancellation/interruption insurance, and travel accident insurance without having to worry about credit card bills. You’ll feel like you’re using debit because the amount you spend will be deducted from your checking account on a regular basis.