Your Fast Pay Plan
What is my Fast Pay Plan?
Your Fast Pay Plan is a personalized debt pay off plan you can create as part of DebtWatchers. Following the plan you create may allow you to pay down your debts more quickly and save money on interest. You can include debts in your Fast Pay Plan from your Equifax Credit Report, as well as debts that do not appear on your Equifax Credit Report. Once you complete the necessary information about your debts that you want to include in your plan, the Wizard calculates an optimal order in which you could pay off the debts in your plan and applies a payment strategy known as “debt stacking” to help you see how you may be able to accelerate paying off your debts.
The Fast Pay Plan Calculator requires the installation of Microsoft Silverlight. Microsoft Silverlight is a web browser plugin that enables features that allow for a rich internet experience for the user. If you do not have Silverlight installed, you will be prompted to download and install it the first time you access the Fast Pay Plan Calculator. There is no fee for the installation of this software.
How does Debt Stacking work?
Debt stacking is a payment strategy that is designed to help you see how you may be able to pay off your debts more quickly. When you pay off your first debt, the amount you were paying toward that debt is added to the amount you pay towards the next debt on your list. By paying more on that second debt, you can accelerate the pay off of that debt. When that debt is paid off, you apply the amount you were paying toward it to the next debt on your list. The total amount you pay each month toward debt in your plan never changes, but the speed with which you start to pay down your debts increases over time as you begin to pay off your debts. When you get to your last debt, the total monthly amount is applied to this one debt each month until it is paid off.
What types of debts can I include in my Fast Pay Plan?
The Fast Pay Plan Calculator can support just about any type of debt. Only accounts with balloon payments or multiple interest rates are not supported. However, you will have to decide which debts you want to include and you may not want to include all debts that are supported. The Fast Pay Plan Wizard will provide you with information on how the plan calculates different types of debt. You can decide which debts you want to include in your plan and which ones you want to leave out.
Where can I find the information about my debts that I will need in order to create my Fast Pay Plan?
Your Equifax Credit Report will be a very good source of information about your debts to create your Fast Pay Plan, but you can include in your plan any debts that you are responsible for or are making payments on (such as a debt that is in your spouse’s name) - regardless of whether they are reported to Equifax. In addition to your Equifax Credit Report, you will also be able to find the information you need to create your Fast Pay Plan in your periodic billing statements and other loan or credit agreements.
There is no information from your Fast Pay Plan that will be shared with or transmitted to Equifax by your Fast Pay Plan.
What information do I need to enter for debts in my Fast Pay Plan?
You will need to add information such as the account name, current balance, minimum payment, interest rate and any special terms (such as promotional interest rates). It’s a good idea to have a current statement and/or customer service phone number handy for any accounts you intend to include in your plan.
Mortgage – You will need to know what type of mortgage you have, the current balance, the interest rate, any special terms and what your Principal & Interest payments are.
Revolving and Installment Accounts – You will need to know your current balance and interest rate and details on introductory periods if you have any. Many times this information is not included on your statement and you will need to contact your creditors’ customer service department.
Additional Debts – You will need to know the debt’s balance, the amount of your payment, the interest rate, and type of debt (mortgage, revolving or installment). This could include debts in a spouse’s name and personal loans.
What if the balance from my Equifax Credit Report doesn’t match the balance on my last statement?
The date creditors report to Equifax is not always the same date that your last statement was created. The balance on your Equifax Credit Report reflects the balance as of the date the creditor reported to Equifax - which may or may not be the same date your last statement was created. When setting up your Fast Pay Plan you should enter the most current balance for the debts that you included in your plan (the more current the balance, the more accurate your plan will be).
Does the Fast Pay Plan support “no interest until” or “no payments until” debts?
Yes. Debts that offer special introductory payment options where the interest rate or minimum due each month changes after a certain period of time are supported. However, additional information is necessary to accurately determine your interest savings and debt payoff date. The Fast Pay Plan Wizard will prompt you for the information needed. When adding or editing account details for introductory period debts, you will need to provide the interest rate and monthly minimum payment during and after the introductory period, the end date of the period, and whether interest accrues during that period.
If your debt had an introductory period but that period has expired, you do not need to enter the introductory period details.
How does the Fast Pay Plan handle accounts with variable or introductory interest rates?
The Fast Pay Plan relies on a fixed interest rate over the course of the loan to determine the payoff date. Even a slight change to your interest rate can impact the account payoff date and amount due every month, so it is important that you update your interest rates so that your plan payoff dates can be recalculated if your interest rates change. However, loans that have an introductory period where the interest rate changes once are supported without recalculating your plan as long as you’ve set that account up in your plan to have an introductory period.
Are mortgage loans with balloon payments supported?
Balloon payment loans are not supported at this time. If your mortgage has a balloon payment, you will not be able to add it to your Fast Pay Plan.
Why is the Fast Pay Plan not able to calculate a pay off date for one of my loans?
Some loans are negatively amortized, meaning the monthly minimum payment required is too small to cover the interest rate for the loan. If you have a loan like this and are not currently paying enough extra each month to cover the interest, you will need to add enough extra to the Additional Monthly Payment field for that account to make up the difference.
Please see important disclosures.