AutoPay - Quick and Easy AutoPay
When you’ve got a lengthy list of bills to pay every month, it’s easy to forget one and have it fall to the wayside. With Carrington’s AutoPay feature, you can choose from a few different options that will help you stay on track with your payments each month.
Monthly auto draft
Customers who elect to use the monthly auto draft feature can select any date between the first and 16th of the month, as late charges begin on the 16th at 11 pm EST.
You can access this option through your account online and will be able to select your date of choice from a drop-down menu. Once you’ve chosen your auto draft date, put a reminder in your phone or on your calendar so you can stay up to speed on your bank account balance.
Semi-monthly auto draft
If a monthly auto draft isn’t right for you, we also offer a semi-monthly auto draft option. This option does not provide you the ability to select your drafting date, and drafting occurs on the first and 15th of the month. This is a great option if you’re looking to spread out your payment into smaller chunks each month.
Bi-weekly auto draft
Bi-weekly payments allow you to make 13 payments over the course of a year as opposed to 12. While this is not an accelerated payment schedule that will reduce your principal faster, it will shorten the time you make monthly payments towards your loan.
Our bi-weekly AutoPay option begins the third week of the month, meaning that when you first set up bi-weekly, you will end up paying a payment and a half on the first month to establish the new payment cycle. From there, you will have a payment drafting every other week, which will equal 13 monthly payments made over the course of the year. Important note: if you elect to add any amount to principal or escrow, you are adding that amount to each draft.
Benefits of AutoPay
Just like our paperless option, our AutoPay options are a great way to free up your mailbox or cut down on that stack of bills you’ve got piled up near your office desk. Here are a couple of the benefits of employing AutoPay within your Carrington Mortgage Services, LLC account.
One of the great things about AutoPay is that you’ll never be late paying your monthly, semi-monthly, or bi-weekly balance. This will help get rid of the hassle of mailing your check or remembering to pay it.
Not having late payments can do great things for your credit score, seeing as payment history plays a big role in factoring out your credit score. Late payments can stay on your credit history for up to seven years, and those negative marks can fade over time as you continue to make consistent on-time payments.
As we mentioned earlier, one of the great things about setting up AutoPay is that you no longer have to worry about keeping track of every bill’s due date every month.
Additionally, with Carrington’s selection of AutoPay options, you have some flexibility in choosing the right drafting plan for you. We currently offer monthly, semi-monthly and bi-weekly payment options.
With our monthly option, you can select any date between the first and 16th of the month as your draft date, since late charges begin on the 16th at 11 pm EST. Our semi-monthly option parses out your payments into two drafting dates: the first and 15th of the month. Bi-weekly payments allow you to make 13 payments over the course of a year as opposed to 12. Our bi-weekly AutoPay option begins the third week of the month, meaning that when you first set up bi-weekly, you will end up paying a payment and a half on the first month to establish the new payment cycle. From there, you will have a payment drafting every other week, which will equal 13 monthly payments made over the course of the year. Important note: if you elect to add any amount to principal or escrow, you are adding that amount to each draft.
So avoid those last-minute panics about whether or not you made your payment on time, and set up AutoPay with us today!
