Post # 1
I’ve never done autopay before because it makes me nervous. But I found out that in order to pay my car payment online with my debit card, I will be charged a $10.95 convenience fee!
And autopay and mailing your payment in are the only free options to make your payment. Mailing a check in every month is a pain in the ass for me so I reluctantly decided to sign up for autopay.
I just started setting up autopay then I found out that they require you have the full amount in your account the business day BEFORE your payment is due AND on the due date as well.
The due date, I get. But why do they need to make sure I have the money in my account the day before it’s due?
I get paid on the 15th and the last day of each month. My company is too small for direct deposit so when I get my paycheck on the last day of the month, I have to deposit it in my bank account and the funds do not show up until the next morning on the 1st.
Arghh!!! I’m just frustrated. I don’t want to have to mail a check in just to avoid the fee!
This is why I hate autopay. It’s awful if you’re living paycheck to paycheck!
Post # 3
@LadyBlackheart: I have my car loan on autopay through Chase and I don’t think I’ve ever encountered this. I only get paid on the last day of the month, I’m the only employee. When I was financed they specifically asked when I got paid so they could make sure there would be no conflicts with the payments. Did they do that? Sorry that sucks so much.. could it be bank specific?
Post # 4
- Wedding: November 2013 - St. Augustine Beach, FL
@LadyBlackheart: Instead of authorizing the bank to pay the bill, see if you can authorize the car loan company to charge your bank account. That might even make you eligible for a small discount on your payments.
Post # 5
@springbride23: I don’t know, maybe. I have my loan through Santander Consumer USA. This is what the site says when trying to set up autopay.
“Please note, you must have sufficient funds to cover the full monthly payment due on both the business day before the monthly payment due date and also on the monthly payment due date. If your account does not have sufficient funds to cover the full monthly payment due on the business day before the monthly payment due date and/or on the monthly payment due date, the debit may not be processed.”
ETA: I should add that my payment is due on the 1st of every month. So that makes things difficult when trying to set up autopay. I’ve thought about asking to move my payment due date but I’m afraid they would charge me extra for it so I don’t want to do that.
Post # 6
A lot of banks require 24 hours to process deposits or transfers. So if you deposited the money on the 1st AND paid your car payment that same day, the money may not be available yet.
Can’t you just set it up to pay from your check on the 15th?
Post # 7
@LadyBlackheart: The only solution I can think of is sending the check in OR calling the loan financer and seeing if they can shimmy your payment date by a few days just so you have a buffer. They probably will if you explain to them that you want to make sure they receive their payments on time and reliably.
Post # 8
I guess if you don’t have the money in the checking the day before it’s due, how will it magically appear in your checking the day it is due? Even if you deposited a million dollars check the day of the due date, that value does not always show up immediately (aka it’s not accessible right away).
I think working with the bank and the car place to see if you can move the due date until like 6 days after your paycheck is deposited. Then you know for sure that date will always be good, and a couple days of leeway in case you’re sick and cannot get to the bank.
I don’t think this is autopay’s issue! 🙂
Post # 9
A lot of autopays go through as soon as the date hits, like at 12:01 am. They probably do that to avoid issues where a person puts money in there account at noon on the due date and then the payment still bounces because it was already processed.
Instead of setting up the auto pay through the loan company can you do it at your bank? Many banks offer a service where you can set it up so they automatically send a set amount to someone on a certain date. To the company that gets the payment they see it simiarly to as if you had sent a check (basically you are sending them an electronic check instead of paper each month). You could pick a date that works best for you that way.
Post # 10
@LadyBlackheart: Your car loan payment should have a grace period (usually its a week). So if your car note is due on the 15th, you can set it up to automatically come out on the 17th of each month (giving you two days). Check with your loan company to see how long your grace period is.
Post # 11
@LadyBlackheart: Just call and ask if you can change the payment due date! We’ve changed the date on pretty much all of our payments to be a few days after we get paid. It makes things SO much easier.
Post # 12
Success, ladies! I just called and changed the payment due date to the 6th of each month. I didn’t want to at first because I was thinking they would charge me extra for changing the due date.
But nope, the woman assured me that my payment would still be the same.
So now I can set up autopay for the 6th! Thanks for the advice, everyone! 🙂
Post # 13
@LadyBlackheart: I’ve changed my payment date before. Lots of time when they give you financing, they assign you a date. What you don’t know is that the lender has wiggle room in there. I’ve always paid my car note on the 15th and when I bought a car in January, they offered me the 1st. I have other big bills going out on the 1st so I asked for the 15th. Guess what? I got it. Now keep in mind that I did this before I accepted the financing. I’m not sure if you’ll have as many options but think about it. Otherwise, you can always split the bill into two payments a month or more and just send in multiple checks. Yes, it’s a pain but if it helps your budget a bit, it could be worth it.