yankeeslover wrote:
M GO BLUE.... I pay roughly $225.00 per month...If I divide by 12 that comes to $19.00...if I pay $20.00 more per month, what will this acchive? will that even put a dent in what I owe? im just courious...... thanks...
This translates into one extra payment per year and since most consumer loans are a simple interest product the more you pay aboveand beyond the required monthly payment goes directly to principal amount so each month when you make your payment an increasing amount goes to principal and less to interest...
The one extra payment per year will cut ~ 2 years off your loan...
