I’m going to tell you something, and it’s not going to be gentle: Autopay is not a budget. It’s just a tool, and it only works if you’re paying attention. Too many people are searching for easy solutions to avoid budgeting, and they think that if they put their expenses on autopay, they don’t have to review their finances at all. But there’s a dark side to blindly using autopay as a budget replacement, something a big-time TikTok influencer recently learned the hard way.
The Influencer’s OB-GYN Nightmare
I’m not naming names, but let’s call her “Amy the TikTok lifestyle creator.” She’s a successful influencer, newly pregnant, with a full calendar of brand deals and OB-GYN appointments. Like many of us, she wanted fewer things to worry about. So she put her healthcare premium on autopay, using her American Express with no limit—one less thing to think about until it wasn’t. Months later, she showed up for a routine appointment and was blindsided: her health insurance had been canceled—no warning, no letter, and no email.
Her insurance carrier had upgraded her policy and needed her approval for the new price. When she didn’t reply, they gave her a short grace period and then canceled the policy. She thought her AMEX was still being charged, but to her surprise, she hadn’t paid for healthcare in months. Because she wasn’t actively reviewing her account or credit card statements, she missed this red flag. So her coverage lapsed, and she found out in the worst way possible, at a doctor’s visit. Pregnant and uncovered. Way to say “Yikes!”
As a fan of Amy’s content, I was shocked and saddened by her experience. Yes, she had the money to fix it, but that wasn’t the point. Her story is a powerful reminder that autopay isn’t a set-it-and-forget-it solution. It’s a tool that can backfire and cost you more than you think.
The Illusion of Financial Control
Autopay is sold as the answer to our overwhelmed lifestyles. Bills get paid, subscriptions stay active, and you feel “on top of your finances” without ever logging in. But here’s the truth: autopay isn’t budgeting. It’s just automatic billing with no accountability and no feedback.
And when you’re not regularly checking in?
- Prices increase quietly
- Free trials flip to full-priced subscriptions.
- Credit cards expire or decline, and you don’t notice until something vital gets canceled.
- You think something’s paid, but it’s not.
Where’s the control? It’s all an illusion we settle for to avoid managing our finances. Is autopay working if you’re not aware of these changes?
When Renewals Become Risky
Let’s talk about renewals. Every app, service, and provider wants to keep charging you forever. They make it easy to sign up but hard to notice when things change. That $9.99 app becomes $12.99. Streaming services creep up every year. Insurance providers increase premiums. And some of these companies don’t even notify you of a renewal; they assume you’re not watching.
Because most people aren’t.
When you use your credit card as the payment method, you’re even more disconnected from what’s leaving your bank account. You’re not feeling the expense or the debt, you’re just accumulating it. If you use credit cards for autopay, that’s perfectly fine. Just make sure to review your statements and pay off the balance in full each month. You don’t want to end up in a hot mess of credit card debt because of unexpected renewals.
The High Risk of Not Budgeting
Here’s where things can get tricky. If you’re not reviewing your monthly transactions, you won’t notice small charges that could come from fraud or hackers. This can be detrimental to your finances and credit. You can also accidentally pay for things you don’t use, like apps, platforms, and services you honestly don’t need. The hardest lesson for Amy, the influencer, was that she assumed something was covered, such as her healthcare, when it had been canceled. That stung.
With credit cards, you also want to be aware of transactions being canceled due to a declined payment or an expired card. This is something that’s easily missed and should be included as a topic during your Family All-Hands Meeting, especially when your credit card’s expiration date is coming up. Re-doing all your autopay transactions is an additional step you won’t want to miss.
All of this risk stems from a single mindset that’s been promoted as, “If I automate it, I don’t have to think about it.” But automation without awareness is just financial self-sabotage.
The Fix: System + Awareness
Even though I use autopay, I still choose to budget. Based on my experience, autopay is a valuable financial tool that should support your financial system, not harm it.
I use the High 5 Banking Method to ensure that the bills I have on autopay are coming out of my ‘bills checking account.’ I review this account to make sure it’s properly funded and that the correct amount is pulled in the autopay transaction. I do the same with my lifestyle checking account to make sure that I’m using the autopay tool without harming my finances.
Having separate checking accounts and routinely reviewing my budget allows any renewals, increases, or transaction failures to go unnoticed. I know how much should be left in my account after each auto payment clears. How? Because every dollar has a purpose in the High 5 Banking Method, and it’s my job to make sure that purpose is being met.
Your Money Deserves Your Attention
Autopay is convenient, but convenience can be costly. It can cost you peace of mind. It can cost you services you rely on. And in some cases, like the pregnant influencer, it can cost you your health coverage. These subtle shifts in our finances can mess us up. This isn’t to say that autopay is the enemy, but blindly trusting it is.
Do your finances a favor. Start with a weekly budget check-in. Open your statements, review your expenses, and make sure your autopay is working for you, not against you. Your money and your life deserve more than just “set it and forget it.”
