YNAB...ing my way to freedom!

SuperFrank88

Told you I would try and post every day...but twice a day! 😃 I have a question that I’m intrigued to hear your answer.

My car finance currently has a balance of £963 and is due to end in March, 3 more payments, £268 Jan, £268 Feb and then £450 inc balloon payment in March. I have the money in my emergency fund to pay this off now. 

Would you pay it off now or just keep paying the monthly instalments? I’m leaning towards paying it off so it’s a big chunk ‘extra’ every month. 

joedenise

As long as it doesn't leave your Emergency fund very low then I would tend to go for the pay it off now.  As you say it will free up quite a chunk of money.

For the first few months I would put that money back into your Emergency Fund.

greensalad

SuperFrank88 said:

Told you I would try and post every day...but twice a day! 😃 I have a question that I’m intrigued to hear your answer.

My car finance currently has a balance of £963 and is due to end in March, 3 more payments, £268 Jan, £268 Feb and then £450 inc balloon payment in March. I have the money in my emergency fund to pay this off now. 

Would you pay it off now or just keep paying the monthly instalments? I’m leaning towards paying it off so it’s a big chunk ‘extra’ every month. 

What is the fiscal benefit of paying it off early? Will you save on interest?

If not, I'd keep going with it. It's a nice feeling to have something paid off but you're also looking at only a matter of months. 

Personally I'd just keep going, unless there is significant financial benefit like less interest.

SuperFrank88

Morning @joedenise @greensalad

Hmm now I’m even more split ha! I have requested a early settlement quote but I think I would save £10-£15 in interest if I settled early. Will wait for that quote to come back then make a decision. 

SuperFrank88

Last night we watched a new program on Netflix about minimalism and how obsessed with ‘stuff’ we all are. Today I had a clear out of old cycling clothes that I haven’t worn for a year and also a spin bike that I bough at the start of lockdown back in March when the gyms shut.

In total I made £200 super happy with that. Feels great to have a clear out and now I’m left with only the things I need. Had so much junk stuffed in drawers that I never use or even knew I had! All gone. Refreshing.

Also, last week I had a letter from Sheila’s wheels saying that due to us all using our cars less this year that I may be entitled to a partial refund. Filled the form out on my portal online and they got back to me today saying I will be receiving £28.92 back next week. Every little helps. Was shocked but fair play to them. 

Sarahwithlove

If you're gonna save on interest then it might be worth paying off early as long as it won't leave you without an emergency fund. 
I got the same from my car insurance and they also offered me similiar when renewed in November.

SuperFrank88

Sarahwithlove said:

If you're gonna save on interest then it might be worth paying off early as long as it won't leave you without an emergency fund. 
I got the same from my car insurance and they also offered me similiar when renewed in November.

Hi Sarah,

Yes I think I will pay it off, will wait for the quote to come through next week. 

SuperFrank88

I am looking into getting an air fryer. Has anyone used one? What are they like? 

Need to get my bum back into gear now and start cooking at home more so I thought it would be a good investment to make to try tasty recipes that would normally be ‘unhealthy’. 

Sarahwithlove

I have one. Used it a few times but novelty soon wore off now it's just in cupboard. Should really put it on fb to sell. However my brother has an Actifry and they use it loads because you can do more with it then just basic dry frying. So if u decide to go for one might be worth investing 

SuperFrank88

Sarahwithlove said:

I have one. Used it a few times but novelty soon wore off now it's just in cupboard. Should really put it on fb to sell. However my brother has an Actifry and they use it loads because you can do more with it then just basic dry frying. So if u decide to go for one might be worth investing 

Which one have you got? Yes I was looking at the Actifry but the original one seems small and I’m not sure I can justify paying over £100+ for the bigger size. But been watching some YouTube vids and some recipes look so delicious. Hmmm