Paying your bills on time is a tough, but essential skill to learn. If you don’t, you could fall behind with payments and that can leave you in debt, affect your credit rating and even risk you losing your home. Find out the best ways to pay bills and tips on what to do if you’re struggling to keep up and pay on time.
What’s in this guide
How to pay bills on time
Top tip
Are you being moved onto Universal Credit? Discover tips in our guide How to budget for a monthly payment
It can be difficult to manage bills, especially if they’re starting to pile up.
That’s why we’ve pulled together a few tips to help you stay on top of your finances.
Get organised
Get a folder and keep your bills in it. If your bills are digital, put them in a file on your computer. Keep track of when they need to be paid.
Need help managing your money? Try our free and easy to use Budget Planner.
Choose a payment method that suits you
Direct debit is usually the cheapest and easiest way to pay bills, but there are other options. Find out more below.
Check your bills regularly
This means you’ll spot any mistakes and will notice if your bills rise and fall.
Pick a day each month and use a calendar or an app to make sure you don’t forget.
You can check payments on your bank statements.
Don’t let your bills get on top of you
If you’re struggling to pay your bills, don’t ignore the problem, because it will only get worse. Read more about how to deal with arrears below.
Make sure you’re not paying too much
To find out how to cut hundreds of pounds off your bills, read our guide on How to save money on household bills.
Ways to pay your bills
Top tip
Try setting up a separate bank account for your bills and transfer the necessary amount in there as soon as you get paid.
Direct Debit
Paying by Direct Debit means your bills are paid on time, so you’ll avoid late-payment charges.
Some companies offer discounts for customers who pay by Direct Debit. However, it can mean you lose control of the date the money leaves your account.
Find out more in our guide Direct Debits and standing orders
Pay online or phone banking
If you bank online or by phone, you can pay your bills directly.
It’s quick and easy and you’re in control of exactly what you pay and when, but you have to remember to pay your bills in time.
Find out more in our guide How to transfer money from your bank account
Is your household income getting squeezed?
If you’re facing higher living costs, but have little or no extra money coming in, find out about extra sources of income and support available to help you manage your household bills and save money in our guide Living on a squeezed income
Other payment methods
Top tip
Do you share responsibility for bills with your partner? Read more about managing money as a couple in our guide Should you manage money jointly or separately?
By post
You can often send a cheque for the bill amount to the address provided by the business.
Be aware it can take up to five days for them to process the cheque and receive the money from your account.
Post Office
You can often pay a bill by cash or card at the Post Office. There can sometimes be a fee for using this service.
Prepayment meter
Gas and electricity can be prepaid by topping up a key or a card, which goes into your gas or electricity meter. This is one of the most expensive ways to pay for energy and when you run out of credit, you’re out of energy.
Find out more about prepayment meters in our guide How to save money on gas and electricity bills
Are your bills getting on top of you?
Need someone to talk to about your finances?
If you’ve missed more than one bill payment, you can talk to a specialist today, online or by phone, who will be able to help you start sorting out your financial problems.
Find free, confidential advice now using our Debt advice locator tool
If you’re having difficulty paying your bills, talk to the people you owe money to as soon as you can.
They might let you make smaller repayments until your money situation improves.
If you’re struggling with debt, there are also many free debt-advice organisations that can help.
Join our Facebook group
Join our private Debt Support Community Facebook group to help give you new ideas to tackle debts and keep you motivated.
