Access to the online bill payment option is only possible, if you are a registered user of your bank's Internet banking system. -Junior DowieAyanna Kirton,
Freelance Writer
ONLINE BILL payment has been with us for a little while but has not yet fully caught on with the public. It is a welcome alternative to joining ridiculously long lines at your utility company or to licking envelope flaps while keeping your fingers crossed that your payments will be received on time.
The Bank of Nova Scotia (BNS) and National Commercial Bank (NCB) recently introduced the option of bill payment via the Internet possibly to keep abreast of global technological trends and to give customers the opportunity to carry out transactions instantly and easily.
With online bill payment customers are able to make payments to a number of merchants including utility companies, cable providers, Internet service providers, mortgage institutions, and credit card companies. With NCB's online banking system customers are able to search through specific categories for the merchant of their choice. Most utility companies accept payments via online banking. If you are not sure whether the merchant of your choice accepts payments through this medium, give them a call to find out.
Setting up your accounts to be paid is easy. Simply select the name of the business from the list of merchants provided on your bank's Web site. Access to the online bill payment option is only possible however, if you're a registered user of your bank's Internet banking system. Once registered, customers must enter the account number printed on their bills and the amount to be paid to carry out the transaction. Payment can be credited from their savings, chequing, or current accounts to pay bills.
How do you know that your payment has been received by the bank for processing?
For BNS, after you enter the bills to be paid, hit the "preview" button on the Bill Pay screen and a confirmation window will appear for you to approve the total amount of bills to be paid.
Once you click on the "submit" button, a confirmation number
will appear to validate your transaction. Keep this confirmation number for
your records. An additional way to confirm transactions is to view your account
history the next business day to see the payment posted to your account. If
it is not there, click on the Transactions Tab and verify your account history.
If the transaction still does not appear, calling the bank's Internet banking
section is the next best bet.
How long does it take before
the merchant receives payment?
Once you submit your bill payment via Scotiabank Internet Banking,
the money will be debited from your account at the time that you submit it for
processing. Depending on the bill payment company's processing policies, the
payment may take up to four days to process.
With NCB, merchants can receive payments within hours of the
bill payment.
Your creditors receive your online payment in one of two ways:
electronic payment or cheque. If the payee is set up to accept electronic payments,
your payment is automatically debited from the account you select and deposited
electronically into their account, just as if you had written a cheque.
If the payee cannot accept electronic payments, and most businesses
cannot, they will be issued a cheque based on your online payment instructions;
hence some banks' four to five-day grace period.
Both banks allow customers to make scheduled bill payments online.
According to the BNS, once you have registered the accounts you wish to pay
online, the next step is to schedule payment. You simply select the account
you wish to pay from, the payee account you wish to pay to, the amount you wish
to pay and the date you want the payee to receive the payment.
If you are thinking about taking advantage of your bank's online
bill payment service, bankrate.com recommends asking yourself the following
questions:
How many bills do you pay
each month?
Is the paperwork a monthly
nightmare?
If your accounts are spread across several institutions, or you
write just a few cheques a month, it may not pay to do your banking online.
If you frequently use the automated teller machine to withdraw cash or transfer
balances among your accounts, you should probably use a local bank. Otherwise,
you'll be forced to pay heavy fees if you use another bank's ATM. But if you
have multiple accounts at one bank, a torrent of monthly bills and little free
time, online banking may be an option.
What fees do I need to be
aware of before signing up?
It depends. For now, both NCB and BNS provide online bill payment
for no charge. NCB customers who have not signed the bank's Midas Plus agreement
will be charged $6.50 per transaction.
How do I qualify for online
bill payment?
You'll typically need a chequing account established with the
financial institution first. Once the online application is sent to the bank,
within five business days (or in some instances the same day) you will be able
to bank online.
Will I need to use software
to set up my accounts?
No. However the basic system requirements listed below are necessary:
Computer equipped with at least a
36.6K modem
A screen resolution of at least 1024
x 768 pixels
Internet access through an Internet
service provider (ISP)
Internet browser: Microsoft Internet
Explorer 5.01, 5.5 or later versions or Netscape 4.73 or later versions.
What if I have a dispute
about a bill payment?
According to NCB, if an unauthorised payment is made the customer
will be held liable for the amount since passwords are used to ensure optimum
levels of security and it is the responsibility of the customer to keep that
information confidential. For incorrect payment amounts and overpaid amounts
in particular, the additional amount will go toward the next month's bill as
per the policy of most utility companies.
What do I do if I need If
I need to talk to a real person?
Both banks have toll free numbers to contact customer service
representatives to answer even the simplest customer queries. NCB's customer
service line is open 24-hours a day.
How do I discontinue the
service if I'm not satisfied with it?
Notify your bank to deactivate your online service. It typically
takes up to 10 business days to stop the service.
