These mistakes can be very costly while paying EMI and bills, know immediately otherwise you may suffer a big loss.
Business News Desk – In the last few years, Internet and digitalization have rapidly made their place in the Indian environment. Its effect is also visible in payments, because people use UPI payment and NACH for payment. Auto payment is also a part of it, under which you can autopay your bill payments and EMIs. But do you know that even if auto payment seems convenient to you, sometimes it can also be harmful. In such a situation, if it is not necessary then do not turn on the auto payment option, here we will tell you how auto payment can save your budget. Can influence. Let us tell you that National Automated Clearing House (NACH) and Unified Payments Interface (UPI) are especially used for this. Let us know about it in detail.
What is Auto Debit Payment?
To understand the disadvantages of auto payment, we need to know about it. Auto payment is a process in which your monthly bills and EMIs are paid automatically at a fixed time. However, if you have a lot of payments to make, this method can help you manage your important payments on time and avoid penalty charges.
There are two methods for this – the first is NACH, which is called Electronic National Automated Clearing House. It is an auto payment system of NPCI or National Payments Corporation of India. Which is used for payment of utility payment and EMI etc.
Apart from this, UPI is also an option, which is used for auto payment. UPI auto pay is done through UPI or Unified Payments Interface platform. In this you can make auto payment from your UPI linked account.
Disadvantages of auto debit payment
The biggest disadvantage of auto payment is that you are not able to manage your budget, because auto payment deducts money even when you have less money.
Sometimes auto payment is also used by scammers, in which they claim to be from some service you are using and try to defraud you through auto payment.
If you want to adjust your budget monthly, auto payment can spoil your plans, because once the payment is auto debited, it cannot be taken back. For auto payment you use your account or debit card. If you change your card or account, you have to update it for auto payment. Sometimes it becomes difficult to cancel auto payment. Apart from this, even after the payment is completed, sometimes companies deduct extra payment, which can be difficult to get back.
