Today, I called Hyundai, and they said they could apply the “three months I am over-paid” (91 days) to my principal. Which would bring my account balance to be “current”.
Seems to make sense.. chopping down the principal is best over anything else in the long term.. right? Any reason this ever wouldn’t be the case, if my goal is to pay the least amount of interest on this loan, and as early as possible?
SupplyChainOne OP t1_j6klkpu wrote
Reply to comment by YoureGrammerIsWorsts in (US) My car loan interest rate is 5.5%, but 15% of my monthly payments go towards interest. Why? by SupplyChainOne
Thank you very much for this breakdown!
I applied my extra payments towards principal.
My loan term is 48mo, forgot to mention that.
Today, I called Hyundai, and they said they could apply the “three months I am over-paid” (91 days) to my principal. Which would bring my account balance to be “current”.
Seems to make sense.. chopping down the principal is best over anything else in the long term.. right? Any reason this ever wouldn’t be the case, if my goal is to pay the least amount of interest on this loan, and as early as possible?