Your Opinions on what I should do with my Ram (car payments, vehicle)

[Jamerschris]

I told the automotive forum how good were the 02 Ram's were in there opinon. well I just recently got My Tax refund check and now im going to pay off the remainder of my Truck off from the bank along with some of my savings. My minimum payment is $280 a month and it will help out so much if I could finally pay it off a year early. is that a good thing paying it off a year early? or should I just keep paying the $280 a month for another year and a half?

[PokerMunkee]

What's your pay off?

How many months left? Take that x $280 and that will tell you how much you'll pay over the next 18 months.

I'm sure you'll save a couple hundred bucks in interest paying it off.

[SOON2BNSURPRISE]

I would pay it off. I hate debt of any kind. We are set to have all of our bills paid off within 14 years from now. No car payments, no student loan debt, no house payment. My brother recently bought a 2011 Jeep and he paid it off in 6 months. So much nicer not having a bill of any kind if you can swing it. Another thought is maybe you should adjust your tax structure so that you don't have such a large refund, but have use of your money during the year. The IRS doesn't pay you interest on holding your money all year long you know.

[frankgn87]

I vote to pay it off to and save some of the monthly payment by putting half of the $280 in the bank to save for a replacement for it because that day is gonna come soon or later.

[jaypee]

What's your interest rate and how many more months left?
You're probably not saving much by paying it off early if there are only a few months left so this is merely for your peace of mind than anything else. I vote for paying it off too.

[M3 Mitch]

Yeah, pay it off *unless* there is a significant pre-payment penalty in your loan contract.

[Grandpa Pipes]

Originally Posted by Jamerschris

I told the automotive forum how good were the 02 Ram's were in there opinon. well I just recently got My Tax refund check and now im going to pay off the remainder of my Truck off from the bank along with some of my savings. My minimum payment is $280 a month and it will help out so much if I could finally pay it off a year early. is that a good thing paying it off a year early? or should I just keep paying the $280 a month for another year and a half?

Pay it off to save the interest on the loan. THEN keep making payments to your savings to help you when the time for a replacement vehicle comes along.

[NJGOAT]

Originally Posted by Grandpa Pipes

Pay it off to save the interest on the loan. THEN keep making payments to your savings to help you when the time for a replacement vehicle comes along.

This would be my advice. Paying it off most likely won't save much in terms of interest, since you are at the end of the loan, but it's something. Keep making the "payment" to a savings account and you will begin building up a fund to enable you to make major repairs, or buy a replacement vehicle.

[Jamerschris]

Yeah guys I owe 16 More months of $280 a month. I figured If I had the money now I might as well go ahead and do it. and put the $140 in savings like some of you suggested.