which affords more protection-having payments made from your bank account or authorizing your creditor...?

It works either way. I always have the about company do the deducting because then they mark my account paid-on-time for the month, even if there is a delay in getting the transfer done from my bank, like due to a weekend or holiday.

If I have the bank send it, then I run the risk of a delay in transmission and the payment getting there late. The idea of doing it yourself online each month is silly. The lender will probably wait until the due date to draft your account, which is as long as possible to wait. Doing it yourself runs the risk of you forgetting or your internet connection being a problem and it doesn't get there on time.

It's all about avoiding the late fees.

Legally, you have two choices. Set up the automatic payments, OR move. It is a legally binding contract. If you sign it, you are then required to follow the contract and make the automatic payments. If you don't sign the contract, then you will have to move. Electronic payments are coming more common to cut down on expenses and book keeping. Computers automatically record the payment, deposit the money, and figure taxes, reserves, etc. without the use of an employee. The check doesn't get lost in the mail, or bounce for Non Sufficient Funds, nor is there a risk of the money being stolen by employees who collect the rent. Everyone is starting to ask for E-payments, from the utility companies such as phone and cable, to the bank with mortgages. Welcome to the 21 st. Century.

It works either way. If you deal with the bank it is easier to decided I want to pay an extra hundred to pay it off. and get it done

To be truly fail save, do what my girlfriend does and pay the car loan on line that way you can pay it when you have the money and it gives you flexibility.