The Capital One Auto Finance Skip a payment is a good option that many borrowers of the auto finance company are taking advantage of. As the second largest auto finance company in the United States, Capital One Auto Finance takes the predicament and needs of their customers seriously.
They know how difficult it is paying back a loan in installment and more so in this difficult times. That is why they have made it possible for customers to skip a payment for a period usually known as a loan extension.
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How The Capital One Auto Finance Skip A Payment Works
The loan extension or Skip a payment option allows customers who encounter challenges in the course of the loan term to skip payment for a specific period. This is to enable them put themselves together and raise some funds so they can continue to make regular payments.
The amount of time or extension period Capital One Auto Finance will give you depends on your situation. However, the most ideal period they give is an extension by one month. Whatever the case, Capital One Auto Finance in turn extends your loans maturity date by the number of times they allow you to skip payments.
And because the car loans offered at Capital One is a simple interest loan, your loan still accumulates interest on a daily basis even though you’ve managed to skip payment. This then means that you are likely to pay more interest on your loan when you skip payment than you would have without skipping payment.
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You do not automatically qualify for a Capital One Auto Finance Skip a payment just because you have a loan with them. You must meet some specific requirements that will warrant that you are granted an extension such as a serious car repairs, or medical bills etc.
As a borrower you must also be able to prove that once the extension is over, you can go by the payment plan till you make the last payment.