feedback wanted: big loan or car loan first?
1. Big Loan: $14,000.00 @ 9% flat interest (This one started at $65,000.00!!)
2. Car Loan: $4,566.21 @ 3.95% interest
Currently I aim to pay extras towards the loan with the highest interest and have been. I have been able to save at least an extra $1000.00 a month to put towards on top of either of the debts above each month.
Now I am thinking of paying off the car in 3 months to simplify my finances and make it seems more motivating to save even more each month for the bigger debts.
Is this a bad idea since the interest rates has a 5% differences?
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