Pay Online-But Don't Use Credit Card

Published December 10, 2007, 1:00 a.m. EST

Updated August 27, 2020, 1:30 a.m. EDT

1 Min Read

ATLANTA - More websites are offering consumers the option of making payments with services that do not require the shopper to provide credit or debit card information. These types of services, such as Bill Me Later and SECURE e-Bill (which recently changed its name to eBillme.com), are designed to provide an extra level of privacy and security for online shoppers who need only enter a minimum of information to make payment arrangements. SECURE e-Bill (or eBillme.com) works in conjunction with a consumer's online bill payment service at their financial institution, while Bill Me Later extends credit to the online shopper who receives a bill that they can pay in full within 30 days or extend payments while incurring finance charges.

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Consumers are increasingly aware of the services, which gained widespread awareness among Internet households, according to a recent research study by Synergistics Research Corp. titled "A New Look at Consumer Payment Habits," found that more than six in 10 Internet households are aware of these types of services, with six in 10 aware of Bill Me Later and more than four in 10 aware of SECURE e-Bill. Overall, about one-quarter of Internet households have actually used one of these online payment services, the study found. Usage of Bill Me Later was reported by one-fifth, and about one-tenth say they have used SECURE e-bill. Some other type of online payment service is indicated by fewer.

"Our survey shows wide consumer awareness of these new online payment methods and a significant level of usage for a relatively new service," said CEO William McCracken. "PayPal is also a strong factor in the online payments landscape which continues to grow in terms of consumer usage and merchant acceptance. Because these new payment services do not require shoppers to provide credit card information at the online point of sale, they may be poised to erode the domination of credit cards in the e-commerce space."