How can you save money on paying off a car loan?

Question

I would like to do that for paying off my car from a loan I got from my credit union. The principal is not that big and I can pay that off probably in one lump. I would like to save money on interest or avoid paying interest by paying off the principal in advance. Is this possible?
If I were to make monthly payments, I got about three more years to go.

Answer 1

Assuming you have a normal loan, part of each monthly payment is interest accrued on the principle balance since the last payment. If you pay of the principle, you save the interest that would have accrued for the remaining term of the loan. Contact the lender and ask for the payoff amount for a specific date. Interest accrues daily. The payoff amount today is slightly less than the payoff amount tomorrow.

Answer 2

1

Answer 3

If your major weekness is shopping for clothes that you don't need, don't go to stores or look in cataloges! Or, if you are really desperate for new clothes but don't want to spend to much, buy on ebay.com! It's way cheaper and you save a lot of money. You can also take some of your clothes that are cute, but your just sick of them, and put them in your basement or garage or somewhere hidden for half a year, then when you take them out they it seems like you got new clothes! Keep putting your clothes away for months at a time. That way, you wont get sick of them!
For regular saving tips, don't throw money around! A lot of people say, "Oh, I can't afford this 40 dollar sweater I really want." But just last week, they spent 6 dollars on movie rentals, 15 dollars eating out with your friends, 10 dollars ona movie, 4 bucks at the gas station where you bought gum and mints, and 5 dollars on those hair scrunchese you kind of wanted. There you go! It may seem like "Oh, it's only a few bucks." but then those few bucks add up and you realize you actually spent so much!
So count every penny, save all your pocket change in a jar, and don't buy something unless you know you can't live without it, like food or water. Also, a lot of people leave a lot of lights in there house and pour out water alot for no reason. So don't wash something in the laundry if it's not dirty, like if you only wore it once. Don't leave water running if your drying the dishes or brushing your teeth, not leave the light on in the living room when your waching TV in your bedroom, small things like that.

Good Luck!