TeknOShEeP
14d ago
Nonononono! Making extra payments is a trap, because all you are doing is shortening the term duration without affecting the monthly payment. In effect, you are robbing yourself of the interest that money could be making, and letting your lender benefit from it instead.
What you want to do is recast the loan (which will admittedly require a more substantial payment) possibly combined with a refinance. This will reduce your monthly payments without modifying the loan term, which gives you the interest rate advantage.
Then you can use your increased monthly available cash to pay down the loan more aggressively if you are really trying to burn through it.
TeknOShEeP
14d ago
Epstein wasn't a finance bro, he was a tax-dodge bro. His entire net worth came from buddying up to billionaires with strategies on how to tax-optimize their personal holdings. Requires a lot less intelligence when your opponent is the federal tax authorities rather than other razor sharp finance types.
TeknOShEeP
16d ago
Yup, me too. My shorthand explanation is I like the policies of Bill Clinton, for the most part. Today that's most closely matched by Trump, therefore Im a fascist nazi bigot. Oh well.
Recasting is one of those things that is never, ever mentioned by the people who are handling your loan, unless you directly ask about it. Funny how that works.
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