Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@. Skimlinks & other affiliated links are turned on

Search
  • FIRST POST
    • OnTheRoad14
    • By OnTheRoad14 18th May 19, 12:35 PM
    • 24Posts
    • 2Thanks
    OnTheRoad14
    Car Finance Repayment Strategy
    • #1
    • 18th May 19, 12:35 PM
    Car Finance Repayment Strategy 18th May 19 at 12:35 PM
    Hi everyone,

    I've recently taken out car finance through motonovo. I was just wondering what is the best/quickest way of paying this off with the following options:

    1. Save the money each month, request an early settlement fee in 9 months time (which is when I believe I will have all the funds to pay it off)

    or

    2. Make regular overpayments as and when funds are available, then request an early settlement figure?

    I think option 1 is better as I will be paying significantly less interest as I can pay it off <12 months rather than 4 years?

    What is the best method for reducing the total interest paid as much as possible?

    Thanks,
Page 1
    • zx81
    • By zx81 18th May 19, 1:23 PM
    • 22,410 Posts
    • 24,554 Thanks
    zx81
    • #2
    • 18th May 19, 1:23 PM
    • #2
    • 18th May 19, 1:23 PM
    Option 2 would save you the most money as the more you repay and the earlier, the more interest you save.
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

102Posts Today

2,305Users online

Martin's Twitter
  • Channel 4 really screwed up not doing this on the Tory leaders debate last night, just think of the ratings... https://t.co/eYYfAYGdck

  • Teacher/head in a London(ish) senior school? I want film a 1hr ish talk to 16-18 yr olds on student finance (to put? https://t.co/dSsSp1UVDF

  • RT @thismorning: As a ban on rip-off bank fees is announced, @MartinSLewis explains if you can reclaim, and how to cut your overdraft costs?

  • Follow Martin