- Aug 17, 2008
- Reaction score
After paying all of my bills, spending money on food and entertainment, I put $1k away monthly towards my savings (I also have a seperate 401k from work which I max out). I think I have a nice amount saved so I am wondering how I should use the additional $1k a month. I just got a new car in which I owe about $25k, but the interest rate I have is 0.9%. I also still owe about $17k on a student loan with an interest rate of 5%. I think I should just take a year and half and pay off my student loans because I'm getting a bit tired of the 20 year repayment plan that I am on. However, it would be nice to be without a car payment in 2 years. Lastly, my third option is start throwing my money towards the stock market/mutual funds (but I know little about this stuff). Any thoughts on what route to take? I'm leaning towards the student loan repayment .