Answer:
Making principal-only payments accelerates the payment of your loan and decreases the interest you pay over the life of the loan. For example, you can save almost $900 in interest by paying an additional principal-only payment of $100 a month on a 60-month loan for $20,000 with a 7% interest rate. You'll also payoff your car loan one year and one month faster with the extra $100 payment.
Step-by-step explanation:
100% on edge 2021
