Pay off loan with savings?

finallydebtfree!!

finallydebtfree, the only thing that worries me is that i have nohting to fall back on in a financial crises. It would take me nearly

sorry missed the end of the quote!

if you paid off your loan with your savings that would still leave you with around £850, have you needed that amount of money since you got your loan?

all these things i was asking myself for probably a year before I took the plunge and finally did it myself and im so glad I did

PandaPants_2

No, but i like having my little nest egg! lol

thanks for all the advice guys, im still thinking it over. Knowing my luck though as soon as id paid off the loan id find a lovely home and have no deposit! lol

finallydebtfree!!

that sounds exactly like me!!! it took me so long to decide what to do for the best, even the guy at the bank couldnt persuade me at one point! good luck with whatever you decide

Annie_Fanny

PandaPants wrote:

No, but i like having my little nest egg! lol

thanks for all the advice guys, im still thinking it over. Knowing my luck though as soon as id paid off the loan id find a lovely home and have no deposit! lol

But you will have NO DEBT and will not be paying 9.9% on it. Therefore any interest that you are earning on savings will be ALL YOURS rather then offset by the fact that you are paying out 9.9% on your loan.

Pay off the loan and like you said put the money that would have been paid towards the loan into a high interest isa/savings account.

As someone else said it is a no brainer....goodbye loan!