What happens if I pay more than the monthly payment?

Question

Accepted Answer

Anything you pay above your monthly payment goes toward your balance, and there is no prepayment penalty of any kind. Because interest is a fixed 10% per year on the balance you still owe, lowering that balance sooner reduces the total interest you pay over the life of the financing. You can do this once, now and then, or every month, and you can pay off the whole balance at any time. Let us know when you send an extra amount so we apply it correctly and confirm your new balance.