Advice About High Interest Rate on Auto Loan

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  • O.
    Feb, 2011
    Oliver
    What does minimum prepayment penalty mean for an auto loan here in California?
    1 Votes

    • BA
      Feb, 2011
      Bill
      A pre-payment penalty is a term in a loan that is invoked if the loan is paid off before a specified time, whether through refinancing the loan or by just paying it off. Not all loans come with a pre-payment penalty.

      If your loan has a pre-payment penalty, make sure to do the math before you refinance your loan. Compare the cost of the penalty with the benefits you receive in the refi, such as a lower interest rate or lower monthly payment. Calculate how long it will take you to recoup the costs you pay in the penalty.

      I don't know what the term 'minimum pre-payment penalty' means. How was it used? I suppose it could simply mean the minimum amount you will be charged in penalty, if you pay off the loan during the time that the penalty is in force.
      0 Votes

  • HG
    Aug, 2010
    howard
    Success can be achieved in many different ways. We are told by many magazines and television programs that to be successful means having a lot of money, a satisfying career and being powerful.
    0 Votes

  • BA
    Mar, 2009
    Bill
    THanks Sushmita.
    1 Votes

  • 35x35
    Mar, 2009
    sushmita
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    0 Votes

  • 35x35
    Mar, 2009
    Rashmi
    This blog contains all the information to avoid the future risks while taking auto loans.
    1 Votes