I really need some advice. I want to figure out if I should pay off my loan or refinance, start a roth for my wife and I or just keep the cash. So this is my situation. I'm 21 and so is my wife. We have a daughter and I'm in the military. My wife isn't employed currently. Right now we have a backup savings of $12,000. A car loan with 10,286 left on it at 9.95%. No credit cards or other debt. My wife has no credit at all and I'm in the 600 range mainly due to short credit history though I do have one bad mark on there.
My car loan is the big problem to me. I definitely want to get out under that 9.95% interest rate. I'm wondering should I try to refinance? Would I even be able to refinance considering that my credit is in the 600s range? If I do refinance should I then throw some money at the loan? And if I don't refinance should I just go ahead and throw some money at the loan?
This is what my wife and I wanted to do. We want to take 8,000-10,000 of our emergency fund and put it in a roth IRA. That way we would start our retirement savings and begin gaining interest but we still would be able to withdraw our initial contribution in the event of an emergency.
Then we wanted to try to build up my credit a little more (need suggestions), refinance and then add her name on the loan as well so that she can begin building credit. Once we did that we would put ($4000) on the loan bringing our balance down and start making bigger payments where we can.
We are also trying to get out from sprint with our phone. We have a year left on our contract but we've realized that getting the plan was implusive and stupid. We definitely could use the money elsewhere. We have no student loans.
Rent(including utilities) $1194
Car $257
Phone (sprint) $167


My car loan is the big problem to me. I definitely want to get out under that 9.95% interest rate. I'm wondering should I try to refinance? Would I even be able to refinance considering that my credit is in the 600s range? If I do refinance should I then throw some money at the loan? And if I don't refinance should I just go ahead and throw some money at the loan?
This is what my wife and I wanted to do. We want to take 8,000-10,000 of our emergency fund and put it in a roth IRA. That way we would start our retirement savings and begin gaining interest but we still would be able to withdraw our initial contribution in the event of an emergency.
Then we wanted to try to build up my credit a little more (need suggestions), refinance and then add her name on the loan as well so that she can begin building credit. Once we did that we would put ($4000) on the loan bringing our balance down and start making bigger payments where we can.
We are also trying to get out from sprint with our phone. We have a year left on our contract but we've realized that getting the plan was implusive and stupid. We definitely could use the money elsewhere. We have no student loans.
Rent(including utilities) $1194
Car $257
Phone (sprint) $167
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