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Car Payment #1

December 23rd, 2014 at 09:00 pm

Last week, I did a wallet sweep and had $3 to apply to my car loan. A client who usually sends me a holiday card with a crisp $100 inside came through yet again. I applied that $100 to my car loan too.

So, my first scheduled car payment has finally posted. My extra principal payments thus far have eliminated 3 payments from the end. All told, that is 4 down with 68 to go.

I have updated my Car Note Page, if you care to take a peek.

And I had an unexpected surprise. According to my statement, my loan rate is 3.49%. My contract plainly says 3.697%. So I guess the 3.697 quoted includes the $99 fee which was tacked on? That is the only thing I can think of. Not that I am complaining, mind you.

If they want to reduce my rate further, I am OK with that. Smile

4 Responses to “Car Payment #1”

  1. snafu Says:

    Terrific plan to pay more than the stated payment sum. I believe it is far more in your favour to have any extra sum applied directly to the principal rather than applied at the end to reduce the number of payments. Of course who ever is financing this loan would rather collect every single penny of interest. i think a mere phone call to explain your intention to lower the principal will get what you want. Ask that the sum already sent [$ 655.75], be readjusted directly to principal. Perhaps you need to write that on every extra payment.

    Enjoy your new wheels and wishing you a Happy holiday season.

  2. Petunia 100 Says:

    Oh, all of my prepayments are being applied directly to principal. I am tracking the actual payments on a spreadsheet, so I can see the impact at the end. Smile

  3. rob62521 Says:

    What a deal! Glad you are paying less and the $100 gift was wonderful!

  4. FrugalTexan75 Says:

    You'll have that car loan paid down in no time!

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