How do I make my payments go to the primary and not the interest?

Question

for my car payment and credit card payments?

Answer 1

When paying on a loan, whether it be a credit card, car loan or real estate mortgage....you would obviously make the required payment and also make an amount of "extra" payment. You might also put it in a note or in the memo portion of your check that you want this extra to be put towards the "principle" portion of the loan.
Be aware, that typically on credit card loans that any unpaid balance will usually acquire additional interest.

Answer 2

In practice it makes no difference what you call it.

At the end of the month, the lender adds the interest for that month to the principal and gets a total. Then he subtracts the payment you make and gets a new total which becomes the starting point (ie the new principal) for the following month.

Answer 3

you have to pay more than the interest - whatever interest you don't pay gets added to the principal

If you are making payments ahead on a loan (e.g., car or house loan) then tell them *in writing* that this payment is additional and is to be applied to principal - I'd also call them and ask to make sure it happened that way the first time I did it to make sure you got it right, sent it to the right person, etc....

Answer 4

Pay your normal monthly payment, and then make an additional payment towards principal.

Answer 5

You have to pay the interest either way, but if you pay more than the minimum payment, you will knock down more of the premium.

Answer 6

Pay more than just the minimum payment

Answer 7

once your monthly payment is paid in full, any extra payment will go to the principal.
The only way is to make payment over and above the required payment.

Answer 8

You still have to pay the interest, but if you send extra every month all of that goes toward the principal and none towards the interest.