Direct Payment AuthorizationSetting up a direct (automatic) payment authorization with your lender will ensure your payments are always on time. Consistent on time payments look very good on your credit report!
A direct payment authorization allows your lender to receive your monthly payment directly from your checking or savings account. Payments are removed from your checking or savings account on a specified day each month.
Once the process is set up, it is smooth sailing for you. You can sit back and relax knowing that your student loan payment will be made automatically each month.
Many student loan lenders are currently offering at least a 0.25% interest rate reduction on your loans if you agree to direct payments.
Setting up Direct PaymentsYou will need to contact each one of your student loan lenders directly to set up direct payments. Some may be able to take your information verbally over the phone, but most will require you complete either a paper or electronic form. Here is the contact information for several common lender/servicers in Montana:
- Student Assistance Foundation
- Wells Fargo Educational Financial Services
- Sallie Mae