Loan Payments & Servicing
Learn how payments work, why ACH is required, what the grace period means, and what happens if a payment fails or is cancelled.
To keep things consistent and predictable, Upright Lending will leverage FCI servicing for all payments. These payments, at time of origination, are configured to be drafted via ACH as soon as any interest reserve is extinguished or is less than the minimum monthly payment. If anything changes (bank account updates, timing issues, or a failed payment) reach out early. Your Upright Lending team will help you navigate next steps.
Payment method (ACH)
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Payments are made via ACH
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Keep funds available ahead of your draft date to avoid disruptions
Grace period
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There is a 10-day grace period after the due date (as defined in your loan terms and servicing setup)
Late charges & default interest (high-level)
If payment isn’t received within the grace period, late charges may apply per your loan documents. If a loan becomes delinquent or enters default status, default interest and other remedies may apply as described in your documents.
If an ACH payment fails or is cancelled
If a payment fails or is cancelled, we will follow up quickly to understand why and help resolve it. Common causes include:
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Insufficient funds
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Bank holds or account changes
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Incorrect routing/account information
Best practice
If you anticipate a timing issue, contact your team before the due date. Solutions are easier (and cheaper) when handled early. Note that payments must be current before any applicable loan is eligible for a draw or term extension.