Be advised: this thread is not for serious in-depth discussion of weighty topics (we have a link for that), this thread is not for anything Culture War related. This thread is for Fun. You got jokes? Share 'em. You got silly questions? Ask 'em.
- 188
- 1
Jump in the discussion.
No email address required.
Notes -
I do, or at least I add an extra $1k of principle reduction on top of every standard monthly payment.
It's mostly a bad decision. I've got an extremely low mortgage rate, locked in when rates were briefly next to nothing, and I can now get a higher return even in an FDIC insured money market account.
My rationalizations, in increasing order of importance:
It may be preventing me from making dumber investment decisions. I've also got a lot in a money market account, and index funds, and tech-centric index funds, and Nvidia in particular, and I fear if I had more money sloshing around free then I'd be tempted to get even more risk-tolerant, possibly at just the wrong time, begging to get hit by a market "correction".
I've got a swath of college tuitions to pay, starting in the near future, and a lot of financial aid applications consider home equity to be inviolate in a way no other investment I could make would be.
It's probably preventing me from making dumber spending decisions - keeping my checking account balance low enough that I have to double-check it before paying the credit card bill seems to have a strong psychological effect on me when I'm tempted to spend frivolously.
It was my wife's idea, and she leaves literally every other investment decision to me. I'd feel like a jerk telling her "we shouldn't pay off our house faster with a fraction of our savings" when she lets me get away with ideas like "we should gamble a bigger fraction of our savings on these guys trying to make god out of silicon".
More options
Context Copy link