need advice on fastest way to pay my truck off
06-08-2009, 09:03 PM
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need advice on fastest way to pay my truck off
well my job started picking up and we are starting to get 20+ hours overtime a week. anyways with all this overtime i want to put it towards paying my truck off.
My question is what way should i go about paying it. I can think of 3 ways:
1. Just put all the money on the principal
2. Just make 3 seperate payments
3. Instead of paying the $250.00 just pay one amount of $800 total, not towards the principal but just like a larger truck payment.
I got the truck back in October of 2008. signed a 3 year contract. As it stands now, I owe about $5950.00 on the truck. So what would be the fastest way to get this truck paid off? thanks fellas
My question is what way should i go about paying it. I can think of 3 ways:
1. Just put all the money on the principal
2. Just make 3 seperate payments
3. Instead of paying the $250.00 just pay one amount of $800 total, not towards the principal but just like a larger truck payment.
I got the truck back in October of 2008. signed a 3 year contract. As it stands now, I owe about $5950.00 on the truck. So what would be the fastest way to get this truck paid off? thanks fellas
06-08-2009, 09:55 PM
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i think it depends on the loan because if i remember right there are loans where when your paying the payment your actually paying the interest first then you start paying on the principle, so it really wouldnt matter if it was setup this way its 6 one way and half a dozen the other because you wouldnt be saving any money. i might be wrong but i remember someone talking about it a while back.
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06-08-2009, 10:19 PM
#8
it depends on the bank. If you just over pay you can actually be paying toward your next payment unless you specify to pay toward the principle.
My payment is $380 per month. If I send them $400 my next bill will be for $360. UNLESS I check the box that says to pay extra amount toward the principle.
Paying toward your principle helps reduce what you pay in interest because the interest is applied on the remaining balance. The less principle you have the less interest you will be paying. However. Calling them and getting a payoff quote helps too. They will freeze the interest on a payoff quote if you pay it off within X amount of days. If you do not then the interest would apply as normal.
My payment is $380 per month. If I send them $400 my next bill will be for $360. UNLESS I check the box that says to pay extra amount toward the principle.
Paying toward your principle helps reduce what you pay in interest because the interest is applied on the remaining balance. The less principle you have the less interest you will be paying. However. Calling them and getting a payoff quote helps too. They will freeze the interest on a payoff quote if you pay it off within X amount of days. If you do not then the interest would apply as normal.
06-08-2009, 11:43 PM
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no matter what you still have to pay the full price to pay it off.
best way.
make your regular payments, stick the extra money in the bank.
when you have built up enough in the bank to cover the rest of what is owed.
write them a check, tell them to kiss your ***, and they have 30 days to sign off and send the title.
best way.
make your regular payments, stick the extra money in the bank.
when you have built up enough in the bank to cover the rest of what is owed.
write them a check, tell them to kiss your ***, and they have 30 days to sign off and send the title.
