Auto Pay is a feature offered by Earnest that allows clients to automatically manage their monthly payments from the selected checking or savings account on their due date each billing cycle. We offer a 0.25% interest rate discount to clients who opt into and maintain automatic payments for their loans. While clients may only have one payment account set up for Auto Pay, they do have the ability to change which account is used. On Personal Loans, if you qualify for and receive a rate reduction, only the interest rate will change, and you will continue to pay the required monthly payments as scheduled under your Loan Agreement. For more information on adding a payment account, check out this article.
What will happen to my Auto Pay if I make an extra or manual payment?
Any time you make an extra or manual payment, it will first be applied to the interest that has accrued since your last payment and then go towards your principal balance. It’s important to note that making an extra payment or scheduling an early payment will have no impact on your Auto Pay or your interest discount. This means if you are enrolled in Auto Pay, your payment will still be debited from your linked payment account on your due date, regardless of any scheduled payments. For more information on making a principal-only payment, check out this article.
Auto Pay Discount
You can take advantage of the Auto Pay interest rate reduction by setting up and maintaining an active and automatic ACH withdrawal of your loan payment. The interest rate reduction for Auto Pay will be available only while your loan is enrolled in Auto Pay. Interest rate incentives for utilizing Auto Pay may not be combined with certain loan repayment programs that also offer an interest rate reduction. For multi-party loans, only one party may enroll in Auto Pay.