Pay off loan or save

rockhopper2008

I have a loan where the settlement figure is £15000 and have just come into enough moey to pay the loan off, i am 1.5 years into the agreement and have worked out the the largest amount of interest has already been paid and that I would be better off putting the money into a savings account than paying off the loan.

As far as i can tell i would be better off saving the money, this gives me the advantage of more interest as well as having a pot of cash readily available.
I think it is a win win situation, can anyone put a different perspective on it and point out anything I am missing

Many Thanks

planning_ahead_2

I would contact your lender and ask for a settlement figure. This will allow you to decide how much you would benefit by paying off the loan vs saving.

Without full information such as term of loan, APR, settlement figure, forecast saving rate etc., then I can't imagine that anyone will be able to give a reasoned answer to your question.

miss_missy

hi
is that figure the settlement figure given by the company or the amount you have outstanding as they may well be different
i would pay off the loan but thats because i want rid of all my debt and we have just paid our last loan off slightly early by a few months but still it saved us £57 and its better in my pocket than theirs my loan was front loaded so most of the interest was paid early on
you could always start saving the payments you would have paid to the loan

also is this your only debt? if not what debts have highest interest they should go first