| Author | Message | ||
     Xb12xmike |
A principle vs interest question. I pay my full payment + 5-10 dollars each month. Is it normal for the percentages's of the Principle and Interest to fluctuate?? 3/10 46% went to principle and 54% went to interest. 4/10 49% went to principle and 51% went to interest. 5/10 43% went to principle and 57% went to interest. Is this normal for it to see-saw like that??? I never really payed attention to this before. I pay at least my full monthly payment, sometimes a couple bucks over. | ||
| Glitch |
Don't know about your question. But, whenever I went over making a payment, I always wrote two checks. One marked for "payment on loan", the other marked "payment for principle". That way I actually paid off several loans way early. | ||
| Joshinga |
For HDFS it is | ||
| Xb12xmike |
I have been using HD-DrectPay via my visa check card. My actual monthly payment (min req) has dropped and has been dropping lower and lower ... but I am still paying the usual payment amount (plus a few) Maybe I should do it like that Glitch. | ||
| Ratbuell |
If you send a second payment, they are required to put it directly towards principal. | ||
| Glitch |
Don't know if it'll work with H-D. I'd give 'em a call and let them know what you're up to first. H-D credit is strange voodoo. | ||
| Sifo |
I wonder if the fluctuation is from a fluctuation in the extra that you pay from month to month that should all go toward principal. Other than that normally you pay much more interest per payment early in the loan and less to interest in the later part of the loan. That way the bank gets their money early, just the way it works. Paying extra every month should bring down the amount going toward interest a bit faster though. | ||
| Xb12xmike |
Ok... I guess I should make the minimun payment, then make another payment(s) in between my normal monthly paymnts to pay it down faster? I guess I should call HDF as well. | ||
| Nevrenuf |
i think their putting it towards the next months payment by the sound of it. h/d credit seems to be notorious for doing that unless you specify it. had to call them a couple of times. | ||
| Xb12xmike |
Yes Nevrenuf...thats exactly what they are doing. I was told to make a lump sum payment to bring it down. And if I send multiple checks and mark one for principle... it will be missed because the the check reading automation does not read hand writing on the checks. Maybe I will call again in a few days. | ||
| Nevrenuf |
best bet is to refinance,preferably a credit union. the only reason why i did what i did was due to a time restraint. had to go 600 miles to be back at work. but the first chance i got, i contacted my credit union and got out from h/d credit. with them, even if you pay 2 cents over on the original mount, it automatically went to principle. i not only dislike banks. if but i also don't trust them whats so ever. if your prior service or if someone in your family is/was, join navy federal credit union. one of the best moves you can do. if not, try any credit union period. btw mike, what kind of design work do you do. | ||
| Hootowl |
USAA is good too. They just changed the rules, so any US vet is eligible. There used to be a pretty narrow window between discharge and eligibility termination. I have my mortgage, car loan, and home and auto insurance through them. They automatically put any overpayment towards the principle. | ||
| Daggar |
I spoke with a lady at HDFS a while back about making extra payments. She said that the interest starts building after your monthly due date, so the closer the extra payment is to the normal payment, the less interest is paid, and more goes to principal. So, any extra money on the regular payment, or shortly after the regular payment, will be going, primarily, towards principal, with more going towards interest as the date gets farther from the regular due date. According to her, anyway. I don't know if that applies to all loans through them, or mine specifically though. |
