This may or may not be a straight forward question. I currently make four to five student loan payments per month:
First Friday: biweekly payment (1/2 total required payment for the month)
Second Friday: extra payment
Third Friday: biweekly payment (1/2 total required payment for the month)
Fourth Friday: extra payment
Between Fourth Friday and First Friday: Lump sum payment of extra savings after all bills, etc. paid for the month
My question: Do I save more money, and decrease # of months to loan payoff, with the above payment plan or does making 2 to 3 payments give me the same outcome with less hassle:
First Friday: biweekly payment (1/2 total required payment for the month) + extra payment
Third Friday: biweekly payment (1/2 total required payment for the month) + extra payment
Between Fourth Friday and First Friday: Lump sum payment of extra savings after all bills, retirement contributions, etc. paid for the month
I can give actual numbers if anyone has a customized excel spreadsheet ready where they can simply plug in the numbers. Alternatively, if you have a link to a debt elimination calculator that is set up for biweekly payments and extra payments made separately and together I'll plug in my own numbers. I've scoured the web and none of the readily-available calculators does what is needed.
I'm thinking the first repayment schedule is better due to interest accumulating for one week versus two.
First Friday: biweekly payment (1/2 total required payment for the month)
Second Friday: extra payment
Third Friday: biweekly payment (1/2 total required payment for the month)
Fourth Friday: extra payment
Between Fourth Friday and First Friday: Lump sum payment of extra savings after all bills, etc. paid for the month
My question: Do I save more money, and decrease # of months to loan payoff, with the above payment plan or does making 2 to 3 payments give me the same outcome with less hassle:
First Friday: biweekly payment (1/2 total required payment for the month) + extra payment
Third Friday: biweekly payment (1/2 total required payment for the month) + extra payment
Between Fourth Friday and First Friday: Lump sum payment of extra savings after all bills, retirement contributions, etc. paid for the month
I can give actual numbers if anyone has a customized excel spreadsheet ready where they can simply plug in the numbers. Alternatively, if you have a link to a debt elimination calculator that is set up for biweekly payments and extra payments made separately and together I'll plug in my own numbers. I've scoured the web and none of the readily-available calculators does what is needed.
I'm thinking the first repayment schedule is better due to interest accumulating for one week versus two.
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