How to Stop Automatic Payments on Your Credit Card

Stopping automatic payments on your credit card comes down to three actions. Contact the company charging you, notify your card issuer, and monitor your account for any further charges.

Here is a breakdown of each step so you can get this handled quickly.

A stop payment order is a formal request you make to your bank or credit card company to block a specific future payment. This is useful when a company will not honor your cancellation request or when you cannot reach the company at all.

Stop payment orders typically cost between $15 and $35 depending on your bank. The average fee at major U.S. banks is around $30 per order. Some online banks like Ally charge as little as $15 when you submit the request online.

To place a stop payment order, contact your bank at least three business days before the next scheduled payment. You will need to provide the company name, the payment amount, and the expected date of the charge.

Keep in mind that a stop payment order may only cover a single transaction. For recurring charges, you may need to request a broader block on the merchant or request a new card number to stop all future charges.

Federal law gives you the right to stop companies from taking automatic payments from your account, even if you previously authorized them. The Electronic Fund Transfer Act (EFTA) and its implementing regulation (Regulation E) protect consumers who use electronic payment methods.

Here is what the law says in your favor:

• You can revoke authorization for recurring payments at any time
• Your bank must honor a stop payment order if you provide it at least three business days before the scheduled transfer
• If a company takes money from your account after you have revoked authorization, that charge counts as an unauthorized transfer
• You can dispute unauthorized transfers and your bank must investigate

The Consumer Financial Protection Bureau (CFPB) provides sample letters you can use to revoke a company's authorization and to notify your bank. If you run into problems, you can file a complaint with the CFPB at consumerfinance.gov/complaint or call (855) 411-2372.

If your bank requires a written stop payment order, use this template:

To Whom It May Concern,

I am writing to request a stop payment order on my account [your account number] for all future payments to [company name]. My account or reference number with [company name] is [their account number].

Please stop all payments to this company beginning [date] in the amount of [payment amount].

I have already notified [company name] that I am revoking my authorization for these charges.

Sincerely, [your name]

Send this letter through your bank's secure messaging system, email, or certified mail. Keep a copy for your records.

This is one of the most common questions people have, and the answer may surprise you. Freezing or locking your credit card through your bank's app does not always stop recurring charges.

Many card issuers allow previously authorized recurring charges to go through even when the card is frozen or locked. The freeze is designed to block new, unauthorized transactions (like if your card is stolen), not to stop payments you previously set up.

The only reliable ways to stop automatic payments on a credit card are:

• Cancel directly with the company
• Request a stop payment through your card issuer
• Get a new card number issued (this forces all recurring charges to fail until you re-authorize them)

Requesting a new card number is the nuclear option. It works, but it also stops every other automatic payment tied to that card. You will need to update your payment information with every company you still want to pay automatically.

Before you can stop automatic payments, you need to know what you are paying for. Here is how to audit your recurring charges:

• Review your credit card statements. Go back through the last three months of statements and highlight every charge that repeats. Look for subscriptions, memberships, and service fees.
• Check your card issuer's app. Many banks now categorize recurring charges in their mobile apps. Chase, American Express, and Capital One all have features that identify recurring payments.
• Search your email for receipts. Search your inbox for "subscription," "receipt," "payment confirmation," and "renewal" to find services you may have forgotten about.
• Review app store subscriptions. Check your Apple App Store or Google Play Store account for active subscriptions. Many people forget about app-based subscriptions that charge monthly.

The average American spends about $219 per month on subscriptions according to a 2024 C+R Research study. That is over $2,600 per year, and many people underestimate their actual spending by 2 to 3 times.

Automatic payments have some real downsides that can cost you money if you are not careful.

If you decide to keep some automatic payments active, follow these practices to stay in control.

There is an important difference between cancelling a subscription and disputing a charge, and using the wrong approach can cause problems.

Cancel first, then dispute if needed. Always try to cancel directly with the company before filing a dispute with your card issuer. If you dispute a charge without cancelling the subscription first, the company may send your account to collections or continue to bill you.

Dispute when the company will not stop charging you. If you have cancelled and the company continues to charge your card, that is the right time to file a dispute. Attach your cancellation confirmation as evidence.

Dispute unauthorized charges immediately. If you see a charge from a company you never authorized, file a dispute right away. You generally have 60 days from the statement date to dispute charges under the Fair Credit Billing Act.

Your credit card issuer's dispute process is typically available through their app, website, or by phone. Most disputes are resolved within 30 to 90 days.