09-25-2008, 07:00 PM
The other factor, which Dave also talks about, is your comfort level. If you pay off the loan but cannot sleep at night worrying about the lack of a safety net then it is not a good decision.
There is value, though not monetary, in feeling secure.
BTW: my wife and I have opted to not pay off the mortgage (6%) even though it would save us money to do so. She want the security of the cash in hand. We are paying extra each month so we are getting the safety of the account plus some advantage to paying off the loan.
There is value, though not monetary, in feeling secure.
BTW: my wife and I have opted to not pay off the mortgage (6%) even though it would save us money to do so. She want the security of the cash in hand. We are paying extra each month so we are getting the safety of the account plus some advantage to paying off the loan.