Auto Debit Interest Rate Reduction

Save yourself time and ensure your scheduled payments will be made on-time each month by setting up automatic payments. There is no need to rush to the mailbox each month or worry about logging in to make a manual web payment. It’s free to apply!

Applying and being approved by MOHELA for scheduled automatic payments to be electronically debited from your banking institution may qualify you for a 0.25% interest rate reduction. Not all lenders offer the 0.25% interest rate reduction (subject to conditions).

Keep in mind this reduction remains in effect while you are actively participating in the Auto Debit program. Please note:

• Auto Debit will not be in effect during periods of deferment or forbearance, and as a result, you will not receive the 0.25% interest rate reduction during these periods. Auto Debit will resume at the end of your deferment or forbearance, as will the 0.25% interest rate reduction.

• If three consecutive payments returned due to insufficient funds, this will result in the removal of Auto Debit and the loss of the 0.25% interest rate reduction. (Other conditions may apply.)

Apply for Auto Debit through your online account and review the Auto Debit Authorization Agreement – Disclosure Statement for Recurring Auto Debit Payments for complete information.