In a year of skyrocketing inflation, the last thing consumers want is to pay extra for hidden costs stuck inside their bills. But that’s what’s happening — to the tune of nearly $1,000 a year per household, according to a new report from mobile pay service Doxo.
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The report, titled “The Hidden Costs of Bill Pay — 2022,” found that each year, U.S. households spend more than $4.6 trillion on household bills and $3.3 trillion on the 10 most common recurring bills. Hidden bill-pay costs — typically involving identity fraud, late fees, overdraft fees and negative credit impacts — amounted to an additional $128 billion a year for an average of $986 per household. That’s up from $925 per household in the 2021 report.
“Hidden bill-pay costs like identity fraud, detrimental credit impacts, late fees and overdraft fees are a major avoidable expense for many consumers,” Jim Kreyenhagen, Doxo’s VP of Marketing and Consumer Services, said in a press release.
An analysis of consumer survey and statistical data found that the hidden bill costs break down as follows:
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$54 in identity fraud costs: These are only the direct costs and don’t include the time and expense consumers spend restoring and repairing their identity records after they’ve been compromised. The total is more than double last year’s average of $26 per household.
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$119…
