I miss paying by check

[Vince in Milwaukee]

Quite true Dusty. We pay cash/check locally; but buying online there is only one choice.... plastic. And everybody pays more for it in the end: except the banks.
I do not take credit cards nor health insurance in my small orthotics medical practice. Since 2001 I have had only a few checks bounce.

"but buying online there is only one choice....pastic"  My other beef with that is when I sent XYZ Widgets a $50 check for a Plutomium Washer, the $ needed to be in my account.  Now a days, I can just charge the darn thing whether I have the cash or not.  While I have every good intention to pay my bill when the time comes, sometimes I don't pay in full and just pay the minimum.  The "extra" money then goes for some other expense.  Okay, so you might say I should be more disciplined (I agree), but it's not easy.  My point is it was much easier in the past to be responsible / cheap. 

[mgfan]

I like going to the bank. It's the only place good looking young women pay any attention to me!  :BEER:

[kckershovel]

    I don't know about using checks but since I went to cash only my life has never been better. As for online purchases I really only use paypal. Paypal takes it directly out of my checking account and there are no fees that way. I never keep money in paypal but I can do all of my online buying with it. My debit card is just for getting cash from the atm.

    I love it every time I hear about a store getting hacked and card information stolen but I fear it will be more of a push to the smart phone payment system that I don't have and would never use or an RFID chip witch is well not going to happen. At least I will not accept one that's for sure.

[donn]

Paypal takes it directly out of my checking account and there are no fees that way.

I never got around to letting them into my bank account, but there aren't fees anyway - to me.  Pay with credit card via Paypal, or just straight credit card, and my statement doesn't show any fees tacked on to my purchases.

The seller pays, though.  Maybe 4%, though it varies and it's real hard to sort that out (interesting multi-part account of this from a cabinet maker: What you need to know about credit card processing.)  Paypal, seller pays for that, too.  Sometimes a seller will propose an alternative non-retail personal category for the transaction, so you pay the fee instead - I think that's frowned on.  I don't know the details though - the way I do it, credit card + paypal, I expect there'd be two bites, but don't know for sure who gets bit.  I use it only when obliged to.

And of course when I say the seller pays, I really mean, seller's customers pay, collectively, for the convenience of credit card purchases whether we make them or not.  Unless the seller recovers that cost with a fee.  Some of the gas stations around here, for example, offer a cash discount (fine for me, as someone who'd be paying cash anyway, but I wish they'd keep more change on hand.)

[pebra]

I can’t remember when I last saw a cheque, let alone used one. Can’t say I miss them, either…..

Naturally there are costs to all sorts of transactions, be they cash, card, checks or whatever, used in the shop or wherever. At least around here, checks were simply too costly to process, and I don’t think they’re used any more. Donn’s example in reply #15 was very interesting though!

I try to optimise MY costs/kickbacks, taking convenience and safety into account as well as direct costs. So I find I am increasingly using a credit card that gives me a 1 % kickback on all use, and more on certain usage. And I’m using less cash. Seems I could increase kickbacks by juggling several cards, but there’s enough plastic in my wallet already….

As has been pointed out someone has to pay the transaction costs somehow. Other things equal, the credit card is generally my best choice. Some shops/providers may refuse or prefer one instrument. Strangely, small hotels in Italy often give you a big discount if you pay cash……

My youngest daughter was travelling in Latin America a few years ago, carrying two debit cards. I was called up by her bank while she was away, as they suspected that some transactions on her account were fraudulent, due to a copied card. I agreed with their view, and they closed the account and refunded all improper use. As for me I’ve never been victim of improper use on debit or credit cards. All my cards now require a code when I use them.

Most of my bills from regular providers are sent to me via the banking system. I get a reminder by email. Next time I open my account with the bank on the net I find there’s a new bill, look over it and approve it for payment – or not, i.e. I can potentially change the bill or I have to contact the service provider. Extremely convenient.

YMMV and all that.

[prof_stack]

I used to have a dot-matrix printer that printed all my checks via Quicken software.  Ah, the good old days...

Nowadays I only write checks when I have to.  Property taxes paid with credit card get a ridiculous fee attached, so the govt. gets a check.  Probably to pay someone whose job it is to open envelopes and process the checks.  When they retire it should all be via CC online. 

[Stormtruck2]

Remember counter checks??? ;)

[Orange Guzzi]

If you miss checks, soon you will miss your credit/debit card.  The latest and greatest is the electronic wallet.  Yes, your cell phone can be used as a method to pay at the check out along with excepting payment.  You can also make direct deposits of a check with your cell phone.  Take a picture of the check and send it to your bank account thru a bank application  And we were all scared of bar codes on our foreheads. 

[donn]

Nowadays I only write checks when I have to.  Property taxes paid with credit card get a ridiculous fee attached, so the govt. gets a check.  Probably to pay someone whose job it is to open envelopes and process the checks.

Washington State fee is 2.5%?  If that covers the bank costs, I guess they're getting a relatively good deal.  At least they charge something, and don't just pass the costs on to everyone else.

[prof_stack]

Washington State fee is 2.5%?  If that covers the bank costs, I guess they're getting a relatively good deal.  At least they charge something, and don't just pass the costs on to everyone else.

Yes, the local govt. is getting a good deal.  Let's do the math.  Say my property tax bill is $5,000 for the year.  2.5% of that is $125.  Why would anyone want to waste $125 paying by credit card when there is no fee by check?

[andrewdonald1]

Here's a little story of what can happen now with paper checks that happened to me.

Electronic bill pay from bank to dentist.
Because dentist isn't in their system to transfer funds electronically, they (meaning the bank not me) create a paper check behind the scenes and send out to dentist.
Dentist receives paper check in mailbox.
Mailbox not locked.
Paper check (regardless of who created it in this case) is stolen (dentist has no idea that mailbox was compromised).
Thieves use bank routing number, my account number and check number to create a fraudulent new check paid to the thieves name (maybe fraudulent names I can't remember) with the framework of the fraudulent check looking like I am an employer to the fraudulent name.
New check cashed at W*lmart for cash.
Money withdrawn out of my account.
Scanned version of check saved in my account records by bank, review check and my shock to find out the check is not to the dentist (I believe the amount was different as well).
Fraud investigation by bank and I am not accountable.
Did the bank pursue the thieves?  Not sure but doubtful.. they told me that the legal costs and time invested isn't worth the return to them.
And the cycle continues I suspect.

Mentioned what happened to dentist.
I suspect they upgraded their mailbox to locking type, but not sure, I no longer go to that dentist for other reasons.

Point being, a paper check is no longer safe and the above story tells you how they do it.

[blackcat]

I use my debit card most of the time and an Amex card for everything else and both are linked to my phone & email account. All transactions are posted and everything over $50 is flagged. The debit card has been hacked twice and it cost me nothing because Bank of America called me immediately and I cancelled the card.  Some banks are on top of this hacking but little mom & pop savings and loans are not.

[andrewdonald1]

I use my debit card most of the time and an Amex card for everything else and both are linked to my phone & email account. All transactions are posted and everything over $50 is flagged. The debit card has been hacked twice and it cost me nothing because Bank of America called me immediately and I cancelled the card.  Some banks are on top of this hacking but little mom & pop savings and loans are not.

Amex in my experience is very good at monitoring and stopping it very quickly.
We had a call 3 weeks ago (from Amex) of someone trying to purchase a ticket to the UK.
They flagged it and called us to confirm before it even showed up on the potential charges.
Card was cancelled and a new one for me in my possession in 3 days.
that's about the best I think you'll get.
They really seem to be on it.

[blackcat]

Amex in my experience is very good at monitoring and stopping it very quickly.
We had a call 3 weeks ago (from Amex) of someone trying to purchase a ticket to the UK.
They flagged it and called us to confirm before it even showed up on the potential charges.
Card was cancelled and a new one for me in my possession in 3 days.
that's about the best I think you'll get.
They really seem to be on it.

Yes, same thing happen to me with Amex. B of A was a bit slower with a new card but only by a few days though they did say they would expedite it if I wanted it faster. Both times this happened was when I was about to leave on vacation which was kind of a bummer but my wife has the same cards.

Whenever I use the Amex card the notifications are within seconds on my phone.

I have also put a lock on my credit information, meaning that no one can look at my credit report or get a credit card,etc. A few years ago a friend of mine went to get cash using his debit card and his account was locked. He had no credit cards but someone in Florida (which is one of the capitals of this crime) had somehow gotten his SS number and opened accounts in his name and we can all guess where this went. To say the least it was a nightmare which is why I locked my credit history info.

[Lannis]

I have also put a lock on my credit information, meaning that no one can look at my credit report or get a credit card,etc. A few years ago a friend of mine went to get cash using his debit card and his account was locked. He had no credit cards but someone in Florida (which is one of the capitals of this crime) had somehow gotten his SS number and opened accounts in his name and we can all guess where this went. To say the least it was a nightmare which is why I locked my credit history info.

How did you do that?   That would be a good thing for me to do, since at this time of life, there's no reason for anyone to be checking my credit rating.   Last year I cancelled my home-equity line of credit and opened a non-secured "personal" line of credit - they had to run a "credit rating" check but that's the last one I'll ever need ...

Lannis

[rbm]

Yes, the local govt. is getting a good deal.  Let's do the math.  Say my property tax bill is $5,000 for the year.  2.5% of that is $125.  Why would anyone want to waste $125 paying by credit card when there is no fee by check?

The 2.5% charge offsets the merchant fee charged to the government by the CC company.  In essence, the government is transferring their cost of doing business to you in exchange for giving you the convenience of using your CC.  This practice of cost transfer is generally frowned upon by the Brands and could be forbidden in the merchant's agreement (but since you don't get to see their merchant agreement the government gets away with this practice).

Credit card fraud should reduce when in the US when the conversion to EMV occurs this fall.  I hate magstripe and get real nervous when I have to shop in the US using my credit card.

And, I have never regretted my stopping the use of cheques.  I think I hate cheques more than magstripes.  :)

[blackcat]

How did you do that?   That would be a good thing for me to do, since at this time of life, there's no reason for anyone to be checking my credit rating.   Last year I cancelled my home-equity line of credit and opened a non-secured "personal" line of credit - they had to run a "credit rating" check but that's the last one I'll ever need ...

Lannis

I have it set up through TransUnion and it is a something like $14 dollars a month which I consider to be worth the minimal amount of money after listening to the nightmare my friend has gone through with his credit being ransacked. I assume you can do this with the other two credit agency's but TU seems to be the main one nowadays.

[Lannis]

I have it set up through TransUnion and it is a something like $14 dollars a month which I consider to be worth the minimal amount of money after listening to the nightmare my friend has gone through with his credit being ransacked. I assume you can do this with the other two credit agency's but TU seems to be the main one nowadays.

Thanks!

Although it sounds a bit like a gangland protection racket.   "Good credit you got there, buddy.  Be a shame if something happened to it.   Tell you what, though ... wet our beak each month (know what I mean?) and we'll maybe NOT send anybody who asks all your information....."

I guess "unless the guy asking gives us more" in which case you're hosed, or the price goes up .....

Lannis