Re: should you pay off a car loan before mortgage?
Kudos to them, that's good news. Then again, I would go back to the interest rates. If his truck loan is minimal interest (0-3%, let's say), just pay the minimum and put the money toward the mortgage. If the rates are about the same or the truck's rate is more than the mortgage interest rate adjusted for tax deductions, then he should pay off the truck.
Demonstrating financial responsibility would not concern me much in this situation. Responsible handling of revolving debt is more important in that regard.
|