I was a bit leary about paying online at first, but once I took the leap, I wouldn't do it any other way! My bank offers free online bill-pay and many companies drop extra service charges (for bill prep and mailing) when you select e-bills and online payments.
After much thought, I decided to do online bill pay through my banks website last year. I just wish I had done it sooner. I receive e mail notifications from many of my bill companies. I then go into the bank site and arrange for payment. My bank not only will pay electronically, but if it can't (there are some that do not have it, like my oil company), then they send out, at their postage expense, a laser draft check. Everything has been paid the day I request and checks are mailed out promptly. Never had a complaint from anyone. I print up my bills (I opted for paperless billing on many, they send an e alert notifiying me that my bill is available to view and pay) and the bank confirmation and have individual folders for each company that I have listed in my payee list. It has saved quite a bit on postage and my bills are paid way before the due date since I arrange to pay it, the day after I receive an e alert that it is available.
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