Hi,
like many people my SSIA pays out soon. On top of that I already have quiet a nice bit of money saved. Combined I have circa 50,000. I have no credit card debt or personal loans, only have a car loan of 11,000 remaining.
My questions are. One, when applying for a mortgage would a bank prefer if I had 11,000 less of my own money and no debt, or 11,000 more towards the mortgage while carrying debt of 11,000?
Secondly, financially, which makes more sense? To continue paying off the loan and in hand paying the interest, or to clear the loan and use the money that was going toawards the loan to top up my savings again.
Thanks to all who reply.
like many people my SSIA pays out soon. On top of that I already have quiet a nice bit of money saved. Combined I have circa 50,000. I have no credit card debt or personal loans, only have a car loan of 11,000 remaining.
My questions are. One, when applying for a mortgage would a bank prefer if I had 11,000 less of my own money and no debt, or 11,000 more towards the mortgage while carrying debt of 11,000?
Secondly, financially, which makes more sense? To continue paying off the loan and in hand paying the interest, or to clear the loan and use the money that was going toawards the loan to top up my savings again.
Thanks to all who reply.