I signed up for ACH payments on my loan. My due date is the 15th, but the bank keeps taking the money out of my account before the 15th. I'm worried I may be overdrawn. Can they take the payment out before the due date?
It seems that there are many bank systems that attempt to pull the money from a borrower's account on the business day before the due date to make sure it's there before posting the payment on their loan system. If your bank can't change the way it's doing this, we can only suggest that you plan to have the funds on deposit the banking day before your payment is due.
If the bank is charging your account more than one business day early, we think you have a legitimate complaint, and should ask the bank to correct what it's doing. If that doesn't prove successful, you should consider canceling the agreement to pay electronically so that you can send the payments by check on dates that you control, but check your loan paperwork to ensure that paying by check won't cause your rate to change.
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It seems that there are many bank systems that attempt to pull the money from a borrower's account on the business day before the due date to make sure it's there before posting the payment on their loan system. If your bank can't change the way it's doing this, we can only suggest that you plan to have the funds on deposit the banking day before your payment is due.