Zoe
Elite Member
- Joined
- Sep 15, 2020
- Professional Status
- Certified General Appraiser
- State
- Tennessee
If you finance a car on rule of 78, it don't make sense to pay it off early in the end of the loan term. You have already paid almost all the interest on the loan near the end of the loan so it don't make sense to pay it off early if you have other debts to pay. You are paying almost all principal on the loan near the end of the car loan. Your last payments have very little interest included in the payments.
Simple interest car loan is different.
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