An auto-pay helps you repay your loan in easy monthly instalments so that you don’t have to repay a big lump sum at the end of the loan.
Let’s say your recommended EMI is ₹9,000, and minimum monthly due is ₹1,000. On the 7th of every month, there will be a deduction of ₹1,000 from your savings account.
If you setup this auto-pay, then additional ₹8,000 (₹9000 - ₹1,000) would be deducted from your savings account on the 7th of every months towards loan repayment.