A budget account helps you to spread out the cost of your bills over the year. You make a payment of a set amount into the budget account every week or month so the money is there to pay your bills. This means you have money to pay your bills on time. Budget accounts are offered by some banks and credit unions.
How do they work?
You estimate how much you spend during the year on bills, such as electricity, gas and telephone, and add them all up. You then set up your bank or credit union budget account and pay in one set payment every month or week to cover the total cost of your bills for the year. Your bills can be paid:
- By direct debit
- Using telephone or internet banking
- By cheque
- By transferring money from your account
Always ask your bank or credit union about any interest or fees that may apply, as these can vary. Compare the costs of these accounts and choose the one that best suits your needs.