Do I have to get stuck paying all the interest associated with the principle cost of the car? Is there a way that I can pay only the principle?
2006-08-25 05:43:07 · 4 answers · asked by YEWSLUS 3 in Business & Finance ➔ Personal Finance
Pay it off early...cuts down on the interest.
2006-08-27 19:29:58 · answer #1 · answered by Anonymous · 0⤊ 0⤋
You can pay off whatever is owed on the car, including principal and interest. Then the company from which you purchased the car has to refund the interest back to you. Also, if your payments included enhancements such as undercoating, warranties, etc., all that is refundable to you also. I bought a car last year, made three payments, and then paid off the remainder. All the things mentioned above were paid back to me. This doesn't include your sales tax or licensing, however. That all goes to the government, not to the car dealership, unfortunately, although you may get partial reimbursement for the taxes at income tax time.
2006-08-25 06:30:29 · answer #2 · answered by gldjns 7 · 0⤊ 0⤋
If you can pay the principal balance in one payment now you shouldn't have to pay any interest other than that which you have currently accrued. If you want to at least reduce your interest over the course of the loan, make more than one payment a month or add additional money to your current monthly payment.
2006-08-25 06:32:31 · answer #3 · answered by pointdumesunset 2 · 0⤊ 0⤋
call the finance company and see what the payoff is. Sometimes tho- they charge you to pay off early making the interest payment included in the lump sum
2006-08-25 05:47:17 · answer #4 · answered by psychstudent 5 · 0⤊ 0⤋