Avant loans can be a lifeline during financial hardship but the automatic payments can become overwhelming. If your circumstances change and you’re struggling to keep up, you’re not alone. Sometimes, the timing of those payments can cause overdraft fees and new financial challenges.
If you’re in that situation, we have good news. You have the right to stop those automatic payments and regain control of your finances. You can turn off autopay on Avant, even if the company doesn’t make it easy.
Avant Makes It Hard to Turn Off Autopay
Avant, like other online lenders, often makes it difficult to disable their AutoPay feature. You might encounter resistance when trying to cancel through their website or app. This is because Avant relies on automatic payments to ensure timely repayment.
A friend of mine received a loan from Avant back in 2016. Although the payments fit into his budget, the timing of those payments did not. Living paycheck to paycheck is difficult enough without having a company withdraw money on odd dates. This friend paid all of his bills on the same date, but Avant consistently took the money out on different days. This caused his account to overdraft again and again.
Even worse, when Avant couldn’t get the money, they would try to withdraw it again and again. This resulted in more and more fees piling up.
Since Avant would not let him change the withdrawal date, he decided to revoke authorization for automatic payments altogether.
The problem?
Avant didn’t allow you to do that. There was no way to turn off autopay through Avant back then. He had to call the company and any attempt to remove authorization was met with opposition. The people he spoke to were hostile and insistent that he had to keep his plan on autopay.
You Have the Right to Turn Off Autopay
Despite Avant’s reluctance, federal law is on your side. You have the absolute right to revoke authorization for automatic payments at any time. The Consumer Financial Protection Bureau (CFPB) confirms this, stating that you can stop a company from taking payments from your account, even if you previously allowed them.
You may find yourself needing to turn off autopay on Avant for several reasons, including:
- Financial Hardship: Unexpected expenses or income changes can make those automatic payments unaffordable.
- Avoiding Overdraft Fees: If your Avant payment causes overdrafts, the resulting fees can quickly worsen your financial situation.
- Flexibility: You may prefer to make manual payments or explore other repayment options.
This is a huge because a lot of people who borrow money online end up unable to pay it back without wrecking their finances. It becomes a trap. Low income people borrow money because they need it, but then those automatic payments make them overdraft again and again until they’re even worse off financially than they were before they borrowed the money.
How to Turn Off Autopay on Avant
Ready to regain control of your Avant loan payments? Let’s dive into the specific steps you can take to stop those automatic deductions and find a payment solution that better fits your financial situation. While Avant may not make it easy, know that you have the right to cancel automatic payments and explore alternative options.
- Attempt to Cancel Online: Try to cancel AutoPay through your Avant account. You may be able to find a cancellation option inside the app or by calling the company. If you use this option, be careful. Some users have reported that it only cancelled the next payment and not the entire recurring autopay.
- Revoke Authorization in Writing: Tell the company that you are revoking your ACH authorization. You need to do this in writing, preferably in a professional letter. The CPFB has a sample letter on their website. This letter gives you the option to revoke authorization for your next payment or for all future payments, depending on your preferences. You can send the letter via email but I recommend sending it via certified mail as well so you can get proof of delivery. Send your letter to:
Avant, LLC
PO Box 9183380
Chicago, IL, 60691-3380 - Notify Your Bank: Send a similar letter to your bank or credit union, informing them that you have revoked authorization for Avant to debit your account. You can use the CFPB’s sample letter for banks and credit unions to do this. Provide your bank account details and the date of your last Avant payment.
- Consider a Stop Payment Order: If the prior steps do not work, you can instruct your bank to stop allowing those payments with a Stop Payment Order. This also requires another letter but, of course, the CPFB has one you can use. You will need to give your bank at least three days’ notice before the payment is scheduled and you’ll need to follow up with formal written notice within 14 days. Some banks will charge a fee for stop payment orders.
- Monitor Your Accounts: Continue to monitor your accounts and let your financial institution know if any Avant payments slip through. Federal law protects you, so if unauthorized transfers happen then you should be able to get that money back. You just need to make sure that you notify your bank in time.
Remember, stopping automatic payments doesn’t erase your debt. You’ll still owe Avant the remaining balance. Contact their customer service to discuss alternative payment arrangements or explore hardship programs if you’re facing financial difficulties.
Additional Help & Resources
You need to understand that the company may decide to take action against you. If you don’t make your payments as agreed in your contract, they could even sue you for the debt.
If that happens, you’ll want to consult with a free legal aid service or use a tool like SoloSuit to help you answer the lawsuit. You have to answer every debt lawsuit or you could end up hit with a default judgement. Basically, if you don’t answer, the courts can give the company whatever they ask for. That’s a bad situation, so make sure you ALWAYS file an answer!
This article provides general information and is not a substitute for legal advice. If you have specific questions or concerns, consult with an attorney or financial advisor.
Relief Recap
By taking control of your Avant automatic payments, you’re not just stopping a transaction – you’re taking a proactive step towards a more stable financial future. Remember, you have the right to manage your finances in a way that works for you. Don’t hesitate to explore your options and seek support if you need it. If you’re facing financial hardship, remember that you’re not alone and resources are available to help you navigate through this challenging time.
If I canceled my authorization verbally to the merchant 3 days prior and they still withdrew the money what are my rights? They said nothing to me about providing it in writing when I spoke to them but now I see it says to do it in writing in my contract. I notified my bank as soon as I saw the charges and they won’t do anything because of what my contract says.