I am a workaholic and I think I would be happier if I pay 5 months (August till December) of car repayment in advance. Is this a sign of paranoia?
2007-07-07 05:53:45 · 6 answers · asked by HeiglLee 2 in Business & Finance ➔ Personal Finance
My car repayment is *$386 and I am earning *$5000. I ride motorcycle and save a lot on gas. Nov and Dec I will probably be out of job. My work cycle is always Jan till Oct only. If I pay 5 months, it would be *$1930 (*my country currency)
2007-07-07 06:10:41 · update #1
I think its ok to pay in advance, or pay extra on principal each month to pay things off sooner, gives you peace of mind that you are reducing your debt in case you'd lose your job. I would also try to build a safety net, some money in savings so you have a cushion in case you'd lose your job or an emergency comes up.
2007-07-07 06:03:01 · answer #1 · answered by Sophiesmama 6 · 0⤊ 0⤋
Why stop there? Pay of the entire balance. Having ZERO debt is the best insurance you can have. If that is paranoia, I am signing up to live a paranoid life.
You should check with the company that holds the loan. If you make a large payment now and no payments for 4 months, they may consider that default. If you inform them of your plan in advance, I'm sure arrangements can be made.
2007-07-07 15:51:14 · answer #2 · answered by STEVEN F 7 · 0⤊ 0⤋
No. I think it's a good idea
(a better idea would be to put the money in a high interests savings account and to pay the loan with that account)
Good luck !
2007-07-07 13:13:19 · answer #3 · answered by Jimmy John 3 · 0⤊ 1⤋
You just want to have a little extra money for the holidays is what it sounds like. If it makes you happy, do it. I'm sure the car place won't mind.
2007-07-07 13:02:56 · answer #4 · answered by magix151 7 · 0⤊ 0⤋
if you pay off your loan faster say by 3 or 4 months it looks better on your credit record
2007-07-07 13:00:21 · answer #5 · answered by SSGP 3 · 0⤊ 0⤋
That doesn't indicate paranoia itself. It's probably a smart thing to do. If you can afford it, why not?
2007-07-07 13:03:51 · answer #6 · answered by Jeff the drummer 4 · 0⤊ 0⤋