If you have a car loan of $ 5,000, a personal loan of $ 20,000 and student loans of $ 10,000, you'd start paying
extra on your car loan, even if it has the lowest interest rate.
This may sound counter-intuitive (and I'm sure some folks will disagree), but instead of contributing to your 401 (k) now, take whatever that amount is, and use it to pay
extra on the car loan.
Not exact matches
When you pay
extra on an installment
loan such as a
car loan, you can't get the money back.
I was
on a tight budget; I sometimes couldn't find the cash to put gas in my
car, let alone
extra money for my
loans.
Applying in this manner provides
extra assurance of your approval, and has the double effect of reducing the interest that you will pay
on your
car loan.
One other thing I've done with our
car loan is pay a little bit
extra each month, which in turn reduces the amount of the daily interest that accrues
on the
loan.
This way you'll get
extra money to go
on vacations, buy a new
car, pay off other
loans, make home improvements or any other purpose you may think of.
So, the 16.67 %
extra loan amount
on top of your
car value is risky for your lender.
If you can pay that much
extra each month, you'll be done paying back your student
loans in no time, and can get
on with the other big financial goals in your life (like saving up for a home down payment or a
car).
The difference between good and fair credit can mean 3 %
extra interest
on a
car loan — adding up to spending more than $ 1,000 over the life of the account.
It's hard to pay
extra on a mortgage when you're still servicing two
car payments and a student
loan.
Quick
loans are a great way to pay
extra bills and avoid late fees, make those repairs
on your home or
car, or even treat yourself to a vacation or that new TV or game system you've been thinking about.
In general, student
loans should be paid
on time and you should put any
extra funds towards credit cards first, then to other installment
loans like
car loans and finally to student
loans.
If you're tired of being underwater and just want to sell your
car, some experts advise making
extra payments
on your
loan to pay it off faster.
In most cases, these payments will usually be as much as your regular monthly payments
on your mortgage or
car loan, with some
extra payment to get caught up
on the amount you have fallen behind.
I have clients that come in to my office trying to buy a
car without credit history because they've been scared of getting themselves committed to a credit card and it makes the process somewhat a bit more tedious because of the
extra guesswork we have to do to figure out how to place you
on a reliability scale for repaying your
loan.
Some
car dealers may offer you add -
on insurance or insurance
extras to add onto your
car loan.
If you're relying
on the
car dealer for the
loan, they'll often try to spring
extra costs
on you part way into the
loan signing process, making it harder to ditch the deal.
This is also why many people
on this site don't recommend paying off a 1.7 %
car loan early, and to instead put those
extra funds into investments, because beating 1.7 % annually is pretty easy outside of recessions / depressions.
Also take the
extra being paid
on the mortgage and pay it
on the
car loan too.
But an employee of Bramacint LLC seems to have gone the
extra mile, aided by modern technology, in an attempt to collect back payments
on a
car loan.
i would of had to be like $ 200
extra per month if i had a
loan on my
car... such bs.