Before you can get payday lenders out of your checking account, you need to consider several things. If you think that your lender is getting more money from you than what you’ve authorized, you should definitely inform your bank or credit union. The federal law requires that every bank or lending company should stop this issue after you’ve given it a proper notice.
Stopping A Series of Payments
If the loan agreement with your lending company calls that you make regular electron payments at intervals, then you’re entitled to additional protections. You can stop or get your payday lenders out of your checking account by giving it an oral or written notice. But you must do it three days before the scheduled transfer. Your lending company may charge you for stopping the payment.
Cancel Authorization
You have all the right to cancel the authorization you gave to your lending company in accessing your checking account. By revoking the authorization that you gave to your payday lender, your lending company will stop in automatically getting payment from you through your checking account
There are some instructions that your payday lending company can give you on how to revoke the authorization. If there are no instructions available, you should tell your lender to stop getting money from your checking account.
You should tell your lender, however, about this issue in writing. Then, don’t forget to keep a copy of that notice that you can send to your bank or credit union.
After sending the notice to your lender about the revocation of its authorization in accessing your checking account, you should tell your bank that further transfers from your lending company are considered unauthorized and invalid.
All banks in the US require that their clients will notify them to stop automatic withdrawal, at least, three days before the next transfer. But they also need that their clients should give them a request in writing within 14 days.
These days, some banks have online forms that you can just fill out to stop automatic withdrawals. As mentioned earlier, a certain fee may be charged to your account to stop the automatic payment.
Now, if your payday lenders don’t stop the automatic transfers and you’ve done all your best to get them out of your checking account, your last resort could be closing your bank account. But you should only opt for it as your last resort. However, you need to consult your bank if this is necessary.
To know more about how to stop your payday lenders in automatically withdrawing money from your checking account, talk to our specialist at 855-413-4998
