Anonymous
11/28/2014 18:41
Subject: Payoff Car Loan vs. Keep/build up savings?
We need more info. How many years is the loan? You are currently paying $350 per month X 12 months= $4200 per year. Anything over 2 years is TOO much.
Anonymous
11/28/2014 10:16
Subject: Payoff Car Loan vs. Keep/build up savings?
2.9% loan + only 3-4 month emergency fund = don't pay off the loan IMO.
You should have a much larger emergency fund. First, house repairs, etc., should be part of ongoing planning for O&M, not emergency fund use.
That means your cash on hand should be at least 6 months (or more) of living expenses, PLUS the projected annual house repair & maintenance funds ($2-3K may be a good number there, depending on your house).
So IMO you're way short on the emergency fund side and should keep using cash flow to build that up rather than pay a decently but not screamingly low interest car loan.
You should have a much larger emergency fund. First, house repairs, etc., should be part of ongoing planning for O&M, not emergency fund use.
That means your cash on hand should be at least 6 months (or more) of living expenses, PLUS the projected annual house repair & maintenance funds ($2-3K may be a good number there, depending on your house).
So IMO you're way short on the emergency fund side and should keep using cash flow to build that up rather than pay a decently but not screamingly low interest car loan.
Anonymous
11/28/2014 08:49
Subject: Payoff Car Loan vs. Keep/build up savings?
Don't pay it off. or....pay it off and pray that you don't have any major expenses in 2015.
no brainer, for me at least.
no brainer, for me at least.
Anonymous
11/26/2014 17:33
Subject: Payoff Car Loan vs. Keep/build up savings?
Anonymous wrote:I'd pay off the loan. No question about it.
+1