What are alternative payment methods? In simple terms, an “alternative” payment method refers to any type of payment other than a credit/debit/money scheme. The most common alternative payment methods are bank transfers, mobile payments, and electronic wallets, but there are also others such as…
Cash-out loans: If you don’t want to go through the hassle of applying for conventional loans, cash-out loans may be your answer. These loans are meant for people who are having difficulty in managing their finances and need a little help with the monthly expenses.
Payday loan: This is one of the more conventional forms of an alternative payment method, because it usually involves getting a temporary payday loan, which can be easily obtained. The problem with these types of loans is that you may end up paying much higher interest rates than you would with a regular credit card.
Debit card: If you have a card at home that allows you to transfer money directly into your bank account, then this is a convenient alternative payment method. However, it should be remembered that some countries don’t allow their residents to use their debit card for making purchases overseas.
Prepaid card: With the advent of online shopping, it is now possible for you to shop using a prepaid card. All that is required is a small fee for the usage of the prepaid card, which you will pay to your merchant after using your card.
Electronic wallet: Electronic wallets are similar to a wireless computer. As such, they are usually equipped with a small amount of cash as well as a small amount of credit. You may either use the cash within the electronic wallet or use the card to access the cash.
Electronic checks: There are also some companies that provide electronic checks as an alternative payment method, although they are still considered to be experimental. This type of check usually does not contain the information of the sender or the recipient, so if the check bounces, you can’t check the transaction.
These are just a few examples of alternative payment methods, which have proven to be very helpful to many consumers. They may work best for certain individuals.
If you do not want to pay a fee to a company to work with these alternative payment methods, there are some other ways for you to pay. One of the most common methods is through your bank. While this will not give you the convenience of paying via your cell phone or using an online payment system, it is still much faster and easier than going from one place to another.
In addition to banking, it is a good idea to look into other financial institutions. There are many credit unions and lending institutions out there that specialize in offering payment services for people who are having difficulties paying their monthly bills.
You can also get a loan or consolidate your debt with a loan. The interest rate on a loan may be lower, but you will only have to pay it back once. With a loan, you have the option of paying on a monthly or a more frequent basis.
It is always a good idea to pay off all of your bills every month. While this may seem like you are being a responsible citizen, by not paying your debt off, you will be adding unnecessary interest onto your total balance and thus you could be increasing your overall debt.
Remember, when looking at alternative payment methods, you will want to consider your own situation and how you wish to be financially sound. By following these tips, you will be able to select the type of payment plan that best suits you.