Date of Most Recent Update: April 4, 2023
By submitting this authorization, you certify that you are the holder of the bank account listed above and the student loan borrower or cosigner identified above (or on the previous screens). You authorize Edfinancial Services, LLC and its respective subsidiaries, affiliates, agents, successors, assignees, or service providers (collectively, “Edfinancial”), to initiate recurring electronic ACH debit entries to your bank account (“Auto Pay”) for the payment amounts, frequency, and dates described above for the loans listed above (or on the previous screens), based upon the bank account information you have entered into this website. You also authorize the financial institution (“BANK”) for the bank account listed above to debit these entries from my bank account.
You understand each Auto Pay withdrawal will occur on the scheduled monthly payment due date (or the next business day in the event of a weekend or holiday) for the loans listed above (or on the previous screens). Your payments will be credited to the loans effective as of the scheduled payment date, even if the withdrawal occurs on a later date as a result of banking holidays or processing times.
You acknowledge that Edfinancial may recalculate the monthly payment amount owed on my loans to ensure my loans are repaid on time according to the terms of my loan agreement(s). Your monthly payment amount may also change pursuant to the terms of a repayment plan. You authorize Edfinancial to adjust your Auto Pay amount to ensure that no less than your monthly payment amount is withdrawn each month. You may request an Auto Pay amount that is greater than your monthly payment amount.
You authorize Edfinancial to withdraw the requested Auto Pay amount above as long as it is greater than or equal to your monthly payment amount. If your monthly payment amount ever exceeds the requested Auto Pay amount above, Edfinancial may increase your Auto Pay amount according to the preceding paragraph. If you are granted a repayment plan to lower your payments (other than an extended repayment plan with level payments), a forbearance or deferment with interest-only payments due, or a forbearance or deferment with a fixed payment due, you authorize Edfinancial to reduce the Auto Pay amount to the new monthly payment amount and cease withdrawing the greater amount.
You understand that if a payment is returned or unpaid, there may be a fee charged by your lender for this returned payment, as permitted by law and the terms of my loan agreement, in addition to any fee you may be charged by BANK. You acknowledge and agree that you are responsible for overdraft, insufficient funds, and other service charges that BANK may impose in connection with the bank account listed above.
You understand that any changes to the Auto Pay amount deducted from BANK will be implemented after you have received at least ten (10) days’ notice from Edfinancial. You may refer to the back of your billing statement for information on how payments are applied and allocated.
You understand that Auto Pay will occur in the amount and frequency described above, even if other payments toward the loans have been made and/or a monthly payment amount has been otherwise satisfied partially or in full. You acknowledge that if your loan is in a “Paid Ahead Status,” you may lose this status while you are enrolled in Auto Pay. “Paid Ahead Status” is when extra payments made toward the loan have advanced the next due date into the future.
You acknowledge that, if a required payment is not made before this Auto Pay request is processed, the loans may become past due. If a loan is now past due or becomes past due while Auto Pay is being processed, you authorize Edfinancial, at its discretion, to grant a voluntary forbearance to cover all of your past due payments before Auto Pay begins.
If your loan has a borrower benefit or repayment incentive that includes an on-time payment requirement to either obtain and/or retain the benefit after qualifying, you understand that using forbearance may forfeit your loan’s eligibility for the borrower benefit or repayment incentive. Although disqualification from such borrower benefit or repayment incentive varies according to the terms of your benefit program, interest rate reductions are generally suspended during forbearance.
If you receive a deferment or forbearance that fully postpones your payments, Auto Pay will be temporarily suspended during that period and will resume withdrawing your normal monthly payment amount (or the greater amount you previously authorized) when the deferment or forbearance ends. If you receive a forbearance or deferment with interest-only payments or a fixed payment due, Auto Pay will continue with your applicable interest-only or fixed monthly payment amount during the forbearance or deferment and resume withdrawing only your monthly payment amount when the forbearance or deferment ends (Edfinancial will cease withdrawing any greater amount you previously authorized).
You understand that this authorization will remain in effect until Edfinancial receives notification from you (the bank account holder) of its termination or until the loans have been paid in full. You may log in to your online account to make such changes or contact Edfinancial by phone or in writing to give such notification. However, you must call or write if you wish to give instructions to remove only certain loans from Auto Pay.
Edfinancial will cancel Auto Pay if the request is received at least three (3) business days before the date of the next scheduled automatic withdrawal. If you wish to cancel Auto Pay on an expedited basis, Edfinancial recommends cancelation by phone to ensure that a request to cancel Auto Pay is received with sufficient time to be processed before the next scheduled automatic withdrawal.
Edfinancial may terminate Auto Pay without warning if payments are returned unpaid, or upon any notification from BANK that payments are not authorized or the bank account is closed, or any other notification requiring similar action under the rules of the ACH network. Edfinancial will send notice in writing if Auto Pay is terminated. If you have any questions regarding this Auto Pay plan, please call Edfinancial at 1-855-337-6884.