Auto Debit Reward Terms and Conditions
Sign up and receive a lower interest rate during repayment
These Terms and Conditions describe the eligibility and policies for the Auto Debit Reward. "You" refers to the borrower. "We" refers to Discover Bank.
Auto Debit Reward Eligibility
You will be eligible to receive the Auto Debit Reward if you meet all of the following conditions:
- You are the borrower of a student loan originated or purchased by Discover Bank
- Your loan is in the repayment period (the Auto Debit Reward does not apply during any deferment period when you may choose to prepay your loan)
- Your loan is not in default
- You do not have returned payments
- You are enrolled for recurring automatic payments from a bank account
Automatic Payment Enrollment
You must be enrolled for automatic payments to receive the Auto Debit Reward. To enroll for automatic payments:
- Call us at 1-800-STUDENT to request a copy of the enrollment form, complete it and mail it back to the address on the form.
- Visit DiscoverStudentLoans.com/AutoDebit and complete the enrollment form.
If you have loans originated by Discover Bank and loans purchased by Discover Bank, you will need to complete separate enrollment forms.
- If you have more than one loan originated by Discover Bank, your single enrollment will cover all loans originated by Discover Bank.
- If you have more than one loan purchased by Discover Bank, your single enrollment will cover all loans purchased by Discover Bank.
Enrollment usually begins 4 to 6 weeks after we receive your completed enrollment form. You should continue to send us monthly payments until you receive written confirmation that your enrollment was successful.
If your loans are past due at the time you enroll, you must make separate arrangements to send the past due payments. You will earn the Auto Debit Reward only if you send in all past due payments and meet the Auto Debit Reward Eligibility requirements above.
Call us at 1-800-STUDENT to:
- Increase the amount of your monthly automatic payment
- Unenroll from automatic payments (you will no longer receive the Auto Debit Reward)
Automatic Payment Cancellation
If you have three returned payments for non-sufficient funds, we may cancel your automatic payment enrollment and discontinue the Auto Debit Reward. You may re-enroll for automatic payments, but you will not receive the Auto Debit Reward.
Auto Debit Reward Amount
We will apply the Auto Debit Reward by reducing your interest rate by 0.25% (0.0025). This may change the amount of your minimum monthly payment, may change the total number of payments necessary to pay off your loan and may change the amount of your final payment. It is your responsibility to notify us if you believe the Auto Debit Reward has not been applied correctly.
Changes to These Terms and Conditions
These Terms and Conditions are subject to change with notice. We may change them at any time including, but not limited to, changing the eligibility criteria or imposing additional conditions.