tag:blogger.com,1999:blog-6337895450730818700.post3768551862971866697..comments2023-08-29T08:48:51.557-06:00Comments on Jessie's Money & Our Growing Families Too: Accelerate - Vehicle or MortgageJessiehttp://www.blogger.com/profile/11259285806446208884noreply@blogger.comBlogger12125tag:blogger.com,1999:blog-6337895450730818700.post-45350193378801956742011-10-12T19:45:58.385-06:002011-10-12T19:45:58.385-06:00PS. I keep getting an error message when I come to...PS. I keep getting an error message when I come to your page. Something about networthiq's security certificate.Rachelnoreply@blogger.comtag:blogger.com,1999:blog-6337895450730818700.post-5512882294709028902011-10-12T19:43:40.531-06:002011-10-12T19:43:40.531-06:00Thanks for the clarification. I agree mostly with...Thanks for the clarification. I agree mostly with the above. Get that EF up to a healthy level and pay off that depreciating asset (car) as fast as you can. Then put some of your money/month towards increasing your mortgage payment and some towards savings for your future vehicle. That way you won't have to take out as much of a loan next time around.Rachelnoreply@blogger.comtag:blogger.com,1999:blog-6337895450730818700.post-7461251533156752512011-10-11T21:05:11.248-06:002011-10-11T21:05:11.248-06:00I'd say knock out the car first because it wou...I'd say knock out the car first because it would free up some money when the month comes plus on either one you will be saving so you shouldn't really stress which one you are saving on. I just think with the car loan freed up you will be much more at eased.Rafikihttps://www.blogger.com/profile/02636919333859560825noreply@blogger.comtag:blogger.com,1999:blog-6337895450730818700.post-78307581495281037752011-10-11T19:55:13.465-06:002011-10-11T19:55:13.465-06:00Kill the car loan then mortgage. Having an extra ...Kill the car loan then mortgage. Having an extra payment to worry about each month is emotional tiring :(.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-6337895450730818700.post-60296986403394935962011-10-11T15:40:57.264-06:002011-10-11T15:40:57.264-06:00I think you should be able to use the debt snowbal...I think you should be able to use the debt snowball calculator here to figure out the various math - http://www.vertex42.com/Calculators/debt-reduction-calculator.htmlJennnoreply@blogger.comtag:blogger.com,1999:blog-6337895450730818700.post-19557650371798311332011-10-11T13:27:22.248-06:002011-10-11T13:27:22.248-06:00Build EF if not done yet.
Pay off car. (Remember t...Build EF if not done yet.<br />Pay off car. (Remember that once you pay of your car, the amount required in the EF goes down :) )<br />Put the amount that used to go towards EF and car towards mortgage.<br />Yes, compounding is important, however if you put the money you used to put towards the car towards your mortagge after 3years (assumption on # of years), it is only a 3-yr difference and not a 30-yr difference.Anon 2noreply@blogger.comtag:blogger.com,1999:blog-6337895450730818700.post-74374776098071498442011-10-11T09:22:59.726-06:002011-10-11T09:22:59.726-06:00Hi Rachel - sorry if I was confusing.
We're n...Hi Rachel - sorry if I was confusing.<br /><br />We're not doing it yet - but we are planning on accelerated weekly payments once we take possession :)Jessiehttps://www.blogger.com/profile/11259285806446208884noreply@blogger.comtag:blogger.com,1999:blog-6337895450730818700.post-82217569144220748442011-10-11T08:39:02.954-06:002011-10-11T08:39:02.954-06:00Maybe I'm confused by the stuff you said at th...Maybe I'm confused by the stuff you said at the top of the post. Are you already doing accelerated bi-weekly payments on the mortgage?Rachelnoreply@blogger.comtag:blogger.com,1999:blog-6337895450730818700.post-86222275389207049262011-10-11T07:45:05.460-06:002011-10-11T07:45:05.460-06:00I agree with Anonymous. Also, the feeling of havin...I agree with Anonymous. Also, the feeling of having no car payment would be great!Michellehttps://www.blogger.com/profile/01699594650305506763noreply@blogger.comtag:blogger.com,1999:blog-6337895450730818700.post-20630799693378358932011-10-11T07:20:25.790-06:002011-10-11T07:20:25.790-06:00I would work on getting the emergency fund up to 8...I would work on getting the emergency fund up to 8 moths worth of expenses, pay off the car ASAP. Save as much as you can (outside of the 8 months emergency fund) and until the car is paid off pay a yearly lump sum into the mortgage. After the car is paid off you can double the mortgage payment every pay or as often as you can afford it. We paid off our mortgage in 8 years instead of 30 by doing the above.<br />Good luckAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-6337895450730818700.post-35186888067877837992011-10-11T07:19:58.396-06:002011-10-11T07:19:58.396-06:00Thanks Makky's Mom! There's so many decis...Thanks Makky's Mom! There's so many decisions to make!!Jessiehttps://www.blogger.com/profile/11259285806446208884noreply@blogger.comtag:blogger.com,1999:blog-6337895450730818700.post-69916220794823378342011-10-11T06:56:48.170-06:002011-10-11T06:56:48.170-06:00We paid off our LOC at 6.5% BEFORE making addition...We paid off our LOC at 6.5% BEFORE making additional payments to our mortgage (5.5%). Once our LOC was paid (8 months), we started paying $200/month extra onto our mortgage. If we keep it up, it will make a difference of 3 years on a 20 year mortgage.<br /><br />I think you'd probably save MORE by paying any extra money onto your mortgage, but I think the psychological benefit of getting the car loan paid off is a bigger win and will keep you motivated and focused. Most people need to see the benefit of their day-to-day sacrifice in order to stay motivated and encouraged. So my vote goes to paying off the Escape!Mehttps://www.blogger.com/profile/01748705005786498840noreply@blogger.com