What is a payment deferral plan, and how does it work?
If you’re experiencing financial hardship as a result of the coronavirus (COVID-19) pandemic, you can log in to your account and sign up for a payment deferral of up to 120 days.
How it works
With a deferral, you won’t have to make a payment until your extension period ends. After the extension period ends, you resume making your regularly-scheduled auto payments, and your contract will be extended by the number of months your payment was deferred.
Your billing statement will reflect your next payment due date and amount. Remember, if you’re financing your vehicle, finance charges will continue to accrue on the unpaid balance at the contract rate, and by deferring one or more payments, you’ll pay more finance charges. If you’re leasing your vehicle, the deferral does not include additional mileage beyond what is specified in your contract. Also, the deferral won’t extend the duration of GAP, maintenance, life, or disability insurance that may be included in your contract.
Will a payment deferral impact my financing rate?
No, your payment deferral won’t impact your original contracted rate.
At what rate will my finance charges accrue, and will they be compounded over the extension period?
Finance charges will accrue at your contracted rate and aren’t compounded during the deferral period or otherwise.
When will I pay off the finance charges accrued?
When you make your regularly-scheduled payment after the deferral period, it will first be applied to satisfy any accrued finance charges and then to the outstanding balance. How long it will take to pay the finance charges accrued during the deferral period will depend on the amount and timing of any payments you make.
Will I receive a confirmation when my extension is processed?
We’ll send you a confirmation email after you set up your plan. Once your extension fully processes, we’ll send you a letter covering the details of the agreement.
Will my due date advance?
Yes, your due date will advance based on the number of months you chose to defer your payment. Your billing statement will reflect the next payment due date and amount.
If I defer my payments, can I pay the finance charges during those months to keep up?
Yes, feel free to continue making payments as you’d like.
Will late charges apply to my account?
No, we won’t charge late fees during your extension period.
Can I still make payments during the extension period?
You can make as many payments as you’d like during your extension period.
When will I see my next due date and amount due?
Your next billing statement will provide this information; your online account will also reflect your next due date and amount due.