I have some extra $ to use. What should I do - a) Pay off 3.9% APR car loan b) Pay towards 5.25% hom

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Dang, you have some really good rates.

I would put it into an IRA and keep my low rates as long as possible.

If you need a tax deduction, put it into a Traditional IRA, then pay car loan, then home loan.

If you don't need a tax deduction, put it into a Roth IRA, then pay the home loan, then the car loan.

I have some extra $ to use. What should I do - a) Pay off 3.9% APR car loan b) Pay towards 5.25% homeloan?

Depends on your tax bracket; if your tax bracket is over about 20%, pay the car loan, because the effective rate after your tax deduction would be lower than 4%. If you are under 20%, pay the home loan.

I have some extra $ to use. What should I do - a) Pay off 3.9% APR car loan b) Pay towards 5.25% homeloan?

Pay off the car loan. you'll have x amount of dollars available evey month now and then put at least half of that amount towards an extra payment on your mortgage each month. If you pay say 100 or 150 dollars extra on your principle each month you'll be surprised how many years it will take off your mortgage in the end. Try looking for an amortization table on the internet an dplug in your numbers ...what you owe , your payment and interest rate and then add an extra amount on the principal and you'll see the years drop dramatically.

I have some extra $ to use. What should I do - a) Pay off 3.9% APR car loan b) Pay towards 5.25% homeloan?

If the extra money is enough to pay off the car, then do that first. If you choose to pay towards your home loan, you'll still have both loans. But if you pay off the car loan in full, then you'll only have to worry about the home loan. This way you can eliminate that one debt.

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I have some extra $ to use. What should I do - a) Pay off 3.9% APR car loan b) Pay towards 5.25% hom

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