From budgeting to bills to loan repayments—staying on top of your finances is no easy feat! Luckily, automation tools make financial management a little easier. Here are six benefits of automating your finances.
Did you know that Harvard FCU members can automate their savings goals with a Club Savings Account? Account holders can set up regular contributions to be made throughout the year via payroll deduction. On a scheduled date, funds will automatically transfer over to your Harvard FCU savings account, in one lump sum. Club Savings Accounts also earn interest, making them a great way to automatically save for specific expenses such as holiday shopping or vacations.
You can request one free copy of your credit report every year from a credit reporting agency—but what if you want automatic access to your credit score more often? Harvard FCU is now partnering with Savvy Money to give members access to their credit score and a full credit report at any time and free of cost. All this information, along with personalized financial tips, is now automatically available via online banking or through the Harvard FCU mobile app.
Automating your finances can reduce financial stress in a number of ways. Set up Bill Pay through your Harvard FCU checking account to receive bills electronically, organize payments into biller groups or schedule payments ahead of time. With online banking you can also set up automated credit card payments and automated payments on home, education, auto and personal loans—all helping to simplify the monthly payment process and reduce some financial stress.
When used responsibly, a credit card is an excellent financial tool to build credit, earn rewards, and protect yourself from fraud. However, not paying off your statement balance in full every month means you’ll be tacking on interest to your account; interest which can quickly lead to debt, high monthly payments and a negative credit score. Automating credit card payments, so that your statement balance is automatically paid off every month, can help avoid lingering balances and interest.
Along with potentially reducing your interest payments, automating your finances often means fewer late fees. When utility bills, credit card bills, mortgage bills and so on are automatically paid from an online checking account, you’re all but eliminating the opportunity to forget a payment and accrue late fees. At the same time, be sure to check your accounts often and ensure debiting accounts are fully funded, so that automated bills don’t put the account into overdraft.
While some people resist the idea of automating their finances due to security fears, in most cases financial automation can help to deter fraud and avoid scammers. Moving financial management online means fewer statements and checks being sent through the mail, which in turn means fewer opportunities for identity theft. Meanwhile, automated platforms such as the Harvard FCU Cards app enable users to easily lock and unlock cards for security, or quickly dispute fraudulent transactions. And, digital wallets and money request apps like Zelle provide simple, secure ways to pay for purchases or pay a friend.