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304 North Cardinal St.
Dorchester Center, MA 02124
A recurring mortgage payment is an automatic payment that is set up to pay your mortgage on a regular basis, usually monthly. This can be a convenient way to ensure your mortgage payments are made on time each month. However, there may come a time when you need to cancel your recurring mortgage payments at Wells Fargo.
The average monthly mortgage payment in the United States in 2022 was $1,813 (Source: Mortgage Bankers Association). With the average payment this high, you want to make sure you have control over when and how these payments are made.
There are a few key reasons you may want or need to cancel your recurring mortgage payments at Wells Fargo:
The average mortgage interest rate in the United States in 2022 was 5.91%(Source: Freddie Mac). If interest rates have changed significantly, you may want to reevaluate your mortgage and recurring payments.
Whatever the reason, Wells Fargo provides a few straightforward options to cancel your recurring mortgage payments. Here are the steps:
First, log into your Wells Fargo account online or via the mobile app. You will need your username and password to access your account.
Once logged in, navigate to the “Transfer & Pay” section. This is where you can manage payments and transfers.
Within the “Transfer & Pay” section, click on “Transfer & Payment Activity”. This will show you a list of your pending and completed transfers and payments.
Scroll through the list to find your recurring mortgage payment. When you locate it, click the “Delete” button next to that payment.
The median home value in the United States in 2022 was $428,700 (Source: National Association of Realtors). With home values this high, a mortgage is often required to finance the purchase.
A pop-up will appear asking you to confirm that you want to cancel that recurring payment. Click “Yes” to confirm.
Once you complete these steps, your recurring mortgage payment will be cancelled going forward.
The average mortgage term in the United States in 2022 was 29.8 years(Source: Mortgage Bankers Association). With such a long commitment, it’s understandable if you need to make changes to your recurring payments during the life of the loan.
If you’re unable to cancel your recurring payment online, you can call Wells Fargo customer service.
If you want to cancel recurring payment from Wells Fargo, there’s another way you can do in order to change your automatic mortgage payments – calling customer service and asking for cancellation.
The number is listed on the Wells Fargo website (1-877-805-7744).
Note that changes in all automatic payments may take up to 30-60 days to be processed. So make sure, when you are on the phone, to ask when the new request will be processed.
Once you cancel your recurring mortgage payment, you will need to make arrangements to pay your monthly mortgage amount through another method. Some options include:
Be sure to make payments by your due date each month to avoid late fees.
The median down payment on a home in the United States in 2022 was 6% (Source: National Association of Realtors). The down payment is often a large upfront cost. Cancelling recurring payments provides flexibility in case your financial situation changes.
If you change your mind later, you can reinstate recurring automatic mortgage payments. Just log back into your Wells Fargo account and set up the recurring payment again through the “Transfer & Pay” section. Payments will resume based on the schedule and amount you indicate.
In addition to online payments and automatic payments, Wells Fargo offers a few other payment options:
Of all recurring household expenses, mortgage payments account for the largest portion, at an average of 37% of income (Source: Bureau of Labor Statistics). Because it takes up such a significant part of a household’s budget, it’s important to make changes if needed.
Explore which option works best if you need an alternative to recurring automatic payments.
Wells Fargo does not charge any fees to cancel a recurring automatic mortgage payment. You can cancel your payments online at any time for free.
Just be sure to still make your mortgage payments on time going forward to avoid late fees from a missed or delayed payment. As long as you pay your mortgage on time each month, there are no penalties.
The percentage of homeowners who are behind on their mortgage payments has been steadily decreasing in recent years. In 2022, the delinquency rate was 3.2%, down from 6.6% in 2010 (Source: Mortgage Bankers Association). Having the flexibility to cancel automatic payments can help homeowners avoid delinquency.
Before you cancel your recurring mortgage payments at Wells Fargo, consider:
Carefully evaluate if cancelling your automatic mortgage payments makes sense for your financial situation. Automatic payments provide a convenience factor to ensure payments are made on time every month.
The number of homeowners who are foreclosing on their homes is also down significantly from the peak of the housing crisis in 2010. In 2022, the foreclosure rate was 0.37%, down from 2.59% in 2010 (Source: Mortgage Bankers Association). Avoiding delinquent payments is key to avoiding foreclosure.
Recurring automatic mortgage payments can provide peace of mind that your mortgage will be paid each month in a timely manner. But if you need to cancel your recurring payments at Wells Fargo, the process is straightforward.
Simply log into your account online, navigate to the “Transfer & Pay” section, find your mortgage payment, and click to delete it. Just be sure you still pay your mortgage on time going forward through another payment method. Evaluate the pros and cons before cancelling to ensure this makes sense for your financial situation.
Homeowners who make extra payments on their mortgage each month can save a significant amount of money over the life of the loan. For example, making an extra $100 payment each month on a 30-year mortgage at 5% interest can save you over $20,000 in interest (Source: Bankrate). If an automatic payment makes it easier to pay extra, you may want to keep it in place.
With the right preparation, you can successfully cancel your recurring mortgage payments at Wells Fargo when needed. Just be diligent about making payments on time yourself once that automatic payment is cancelled.
There are a number of government programs available to help first-time homebuyers and low-income borrowers afford a home. These programs can offer down payment assistance, lower interest rates, and other benefits (Source: U.S. Department of Housing and Urban Development). Make sure to research available assistance programs when buying or refinancing a home. Taking advantage of these programs can make homeownership more accessible and affordable.