Can they do this?

melodylb

My car loan company just told me that they are not able to cancel a payment. It comes out of our account every month and I wanted to cancel the payment scheduled to come out Tuesday. Cancelling wouldn't make our payment late (The payment is due March 20th) and we are ahead anyways since we pay $100 extra every month.

They told me I have to cancel the payment at my bank which charges me a $25 fee and then pay the cancelled payment fee through them $35.

I am so frustrated right now. 

AllThatGlitters101

If it was part of your original loan agreement, then yes, they can. Most banks offer percentage discounts when you sign up for auto-bill pay, but you have to stick to the auto-bill pay for so long or you will be charged fees to cancel an auto payment.

Sorry.  

melodylb

AllThatGlitters101:

If it was part of your original loan agreement, then yes, they can. Most banks offer percentage discounts when you sign up for auto-bill pay, but you have to stick to the auto-bill pay for so long or you will be charged fees to cancel an auto payment.

Sorry.  

Yeah, I would see that but it's not in the agreement I called and set it up. I just got so angry because the lady was such a biotch.

I don't have as much patience these days.  

weelass24

That wouldn't be in your paper contract, but it is probably in the auto payment agreement or TOS on your lender's website.