Auto-PIF Function

[Scamp]

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jaybird201 wrote:

Basically, if want to not have to worry about paying my bills. For the first couple of months I'll make sure everything is gravy. I'll probably even call in and verify that the system is set-up to PIF (I'm 100% sure a computer automatically deducts the statement balance from the account).

After that, I'll feel free to check my statements to verify my payments whenever. I already have lots of things on my mind to remember. A year from now, I could completely forget to check any of my bank accounts and everything would take care of itself. How nice would that be!?

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Erm, it would be great, but aren't you forgetting that computer systems go down, get hacked, etc.?

I can't recommend strongly enough NOT just 'setting it and forgetting it' - computers are far from invincible and infallible. 

[Watchmann]

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jaybird201 wrote:

After that, I'll feel free to check my statements to verify my payments whenever. I already have lots of things on my mind to remember. A year from now, I could completely forget to check any of my bank accounts and everything would take care of itself. How nice would that be!?

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Sweet!!!!  What could possibly go wrong with that plan?

[Anonymous]

Sigh. As much as I would like to joint in the rampant paranoia that you all have going on, you go ahead, I'll just stay right here in normal people world.

So please attempt to follow my logic:

1.) Companies like AmEx and Discover have a vested interest in keeping their ACH systems up and running. If they go down, they don't get paid. In all my years in the financial industry (Including a good amount of time in loan servicing), ACH systems haven't gone down. It's a simple system designed to process payments. So if systems go down, it's the rare expception.

2.) If the system goes down, they'll probably know about it. AmEx and Discover have a great record of customer service, I'm sure they'd be able to help me out and reverse any fees caused by their system crashing. Get a CSR that can't/won't help? Ask for a supervisor. No luck? Call again and try a different CSR/supervisor.

3.) Nobody is going to hack a system that processes payments. They're internal systems. Seriously? If anything they would hack credit card numbers, not the checking account number used to pay the stuff off. Honestly, you guys are completely insane!

4.) If a virus comes along that wipes out computers everywhere, including internal ACH payment processing systems, missing a credit card payment will probably be the least of my worries.

So guys, relax. Worst case I incur a small late-payment fee and a small hit to my credit. Nothing PFB or a GW letter can't fix. It's clear you've spent so much time on this forum that you don't know how to sweat the small things when it comes to finances.

Message Edited by jaybird201 on 09-05-2008 09:40 AM

[Scamp]

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jaybird201 wrote:

rampant paranoia

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Hmmm...I respectfully disagree that recommending strongly that you do an occasional follow-up check on your set-ups just to make sure nothing has changed or gone awry (which is all my post meant to convey) constitues 'rampant paranoia'.  I've seen several posts on here from users who did similar set-ups only to find out the hard way weeks or months or even more than a year down the line that something did go awry and had the Devil's own time straightening it out and fighting NOT to be held responsible and charged fees out the wazoo and worse by the creditors for the mess.

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jaybird201 wrote:

So please attempt to follow my logic:

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I did.  The first time.  But life happens, and I respectfully stand by my attempt to caution you to do the occasional check-up on things.

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jaybird201 wrote:

3.) Nobody is going to hack a system that processes payments. They're internal systems. Seriously? If anything they would hack credit card numbers, not the checking account number used to pay the stuff off. Honestly, you guys are completely insane!

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My references to hackers and computers not being infallible/invincible was generalized, not directed specifically at the ACH system, but even if I'm incorrect in my line of thought, there's rather a large difference between being incorrect and 'completely insane'. 

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jaybird201 wrote:

It's clear you've spent so much time on this forum that you don't know how to sweat the small things when it comes to finances.

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I think you meant to say that we 'don't know how NOT to sweat the small things'.  Again, I must respectfully disagree - I feel that, if anything, myFICO members know better than most what to sweat and not sweat, when it comes to finances.

I hope your set-up goes as planned and works as flawlessly as you want it to and believe it will.

[Anonymous]

I appreciate your constructive criticism of my plan and agree that I will certainly check-up on things regularly. While I think everything will work without a hitch, I do realize that there is a chance things will get all screwy.

My defensive post was a response to the less-than-constructive comments that were basically calling me stupid for signing-up for this. And in response to them, it's not like I'm forcing YOU doing ACH payments, I'm just sharing what I think will work for me.