Deferit does not work with car payments or auto loans
Deferit is a payment deferral app that lets you push back the due date on purchases you make at participating retailers—but it does not connect to car loans, auto financing, or payments to lenders. Deferit works only with merchants who have integrated the app into their checkout system, which means you can defer a purchase at a store or online retailer, but you cannot use it to defer a payment you owe to a bank, credit union, or auto finance company.
If you are behind on a car payment or need to move your next payment to a later date, you will need to contact your lender directly. Most auto lenders have their own hardship programs, payment deferral options, or loan modification plans that let you postpone or reduce a payment without using a third-party app.
Key Takeaways
- Deferit only works at retail merchants with the app built into their checkout, not with lenders or loan servicers.
- To defer a car payment, you must contact your auto lender, bank, or credit union—they control whether deferral is an option.
- Most auto lenders offer hardship programs that may allow you to skip a payment, extend your loan term, or reduce your monthly payment temporarily.
- Deferring a car payment through your lender does not erase the payment; it typically extends your loan and adds interest.
How to request a car payment deferral from your lender
Start by calling the customer service number on your loan statement or bill. Tell the representative that you are having trouble making your next payment and ask whether the lender offers a deferral, forbearance, or hardship program. Have your loan number and account details ready.
Most lenders will ask you to explain your situation—job loss, medical emergency, temporary income reduction—and may request proof such as a recent pay stub, termination letter, or bank statement. The lender will then tell you whether deferral is available, how many payments you can defer, and what happens to the deferred amount (usually it gets added to the end of your loan or rolled into future payments).
Do not wait until you miss a payment to call. Lenders are more likely to work with you if you reach out before the due date and show you are trying to manage the situation.
What happens to your loan when you defer a payment
Deferring a car payment does not erase it. The payment amount is typically added to the end of your loan, which means you will owe more total interest and your loan will take longer to pay off. Some lenders may also charge a deferral fee, though this varies by company and by your loan agreement.
Your credit report may still show a late payment if the lender reports the missed payment to the credit bureaus before the deferral is approved. Once the deferral is in place and you make the rescheduled payments on time, the late mark may be removed or updated, but this depends on the lender's reporting practices and the timing of the deferral approval.
Other options if your lender does not offer deferral
If your lender says deferral is not available, ask about a loan modification, which may allow you to extend your loan term (lowering your monthly payment) or temporarily reduce your payment amount. Some lenders also offer forbearance, which is similar to deferral but may have different terms and fees.
If you are facing repossession or foreclosure, contact a HUD-approved housing counselor or a nonprofit credit counselor through the National Foundation for Credit Counseling (NFCC). They can negotiate with your lender on your behalf and may uncover options you did not know existed. Counseling is usually free or low-cost.
Why Deferit cannot help with car loans
Deferit is designed for retail purchases—things you buy at stores or online shops. It has no connection to the financial institutions that issue car loans. Even if you use Deferit to defer a purchase at a car dealership's gift shop or online store, that deferral applies only to that retail transaction, not to your auto loan or financing agreement.
Auto loans are contracts between you and a lender, and only that lender can modify the terms. No third-party payment app can override or change the terms of a loan agreement.
Alternatives to deferral for managing a car payment
If deferral is not available or does not solve your problem, consider refinancing your loan with a different lender. Refinancing can lower your monthly payment by extending the loan term or securing a better interest rate, though it may cost you more in total interest over the life of the loan.
You can also explore selling the car and buying a less expensive vehicle, or using public transportation temporarily while you stabilize your finances. If you are in a severe financial crisis, bankruptcy may be an option, though it has serious long-term consequences and should only be considered after speaking with a bankruptcy attorney.
Frequently Asked Questions
Can I use Deferit to buy a car and then defer the purchase?
No. Deferit works only at retailers that have the app integrated into their checkout system. Most car dealerships do not use Deferit, and even if they did, the deferral would apply only to the retail purchase, not to any financing or loan you take out afterward. Your auto loan is a separate contract with a lender.
What if I miss a car payment and do not contact my lender first?
Your lender will likely report the missed payment to credit bureaus after 30 days, which damages your credit score. You may also face late fees and increased interest rates. Contact your lender as soon as you realize you will miss a payment—many lenders will still work with you even after a payment is late, though your options may be more limited.
Does deferring a car payment hurt my credit?
A deferral approved before the payment is late typically does not hurt your credit, because the payment is not reported as missed. However, if the lender reports the missed payment before approving the deferral, your credit score will drop. Once you make the deferred payments on time, the impact may lessen over time.
How many car payments can I defer at once?
This varies by lender. Some allow you to defer one payment, others allow two or three. Call your lender to ask what their policy is. Deferring multiple payments extends your loan significantly and increases the total interest you pay.
Will my car be repossessed if I defer a payment?
No, not if the deferral is approved in writing by your lender before the payment is missed. Once the deferral is in place, you are no longer in default. Make sure you have written confirmation of the deferral terms before you skip the payment.