What is the charge for the extended payment plan

MeToo2
Contributor

I used to use the regular payment plan, whereby paying for a year's insurance over 9 months cost no more than paying when billed. The regular plan has been discontinued, so does the extened payment plan cost more than paying when billed?

1 REPLY

@MeToo2- there is no difference in premium when choosing how to pay, we don't charge installment fees, interest,  or anything like that. The regular payment plan provided these installments: An annual policy had 9 consecutive, equal monthly installments. A 6-month policy had 4 consecutive, equal monthly installments. The extended payment plan provides these installments: An annual policy is 12 consecutive, equal monthly installments (occasionally 11 installments due to how the billing falls and 11 installments in LA too). A 6-month policy is 6 consecutive, equal monthly installments. For some locations, the first installment may be higher due to taxes/surcharges that must be paid in full on the first installment. The final installment may be slightly higher than the previous installments due to rounding, usually a few cents difference. The last billing option is account balance and that works like this: The member pays the current statement balance in full at each issue, renewal, or mid-policy adjustment. Hope this brings some clarity to the payment options, having two clear choices is easier for both members and USAA. If you have any questions we are a post, chat at USAA.com, or phone call away at 1-800-531-8722. Thank you. ~Shawna