Overhaulin'

If you had 5k in student loans and 5k left in a car loan and you were about to get a check for 8k?

which loan would you pay off first? And suppose your car payment was $500 / month as well.

Public Comments

1. Pay off the one with a higher interest rate. Probably the car loan. Then use the car payment money to pay extra on your student loan each month.
2. Whichever one has the highest interest rate, I would pay that one off first. Then, put any extra money towards the other loan. Lucky that you only have 5k left in student loans. I still have about 18k.
3. The car loan.
4. More than likely your car loan has a higher interest rate. So thats one I would pay off first, the put the remaining on the student loan.