I currently owe about $100,000 on my house and have 18 years left on my mortgage at 3.3%. I recently sold my old car for $7000 and am wondering what to do with the money. I have a very strong 401k for my age and I have another $7000 in the bank that I pay my bills out of but I never let get below about $6000 in case of emergencies.
Right now I am considering either putting that money in my bill pay account to have an additional cushion but I'm not sure that is necessary because I have a fairly high credit card limit if I was ever really screwed with emergency home repairs or something. Also the money would only be a good ROI if I ran into an emergency, if there isn't one it wouldn't really help me much.
Option two would be to open up an investment account and invest in index funds with an eye for 10-15 years in the future. I
Finally option three would be to use it to make a one time payment against what I still owe on my house. It is pretty easy to find mortgage calculators that show you what would happen if you increased your payments every month by a certain amount but I can't find one that manages one time payments.
How much would this effect the duration of my mortgage? I am thinking that with the amount I pay in interest that this would actually be a better ROI than any investment account I open. Do you guys agree?
Submitted June 19, 2017 at 10:01AM by YPG-Got-Raqqa http://ift.tt/2rIqtZy
