What's the APR on the auto loan?
7% on the loan. I still have yet to hear if that's a good rate or not. Its from a local CU. If I pay the loan off I would just shop around for a 5300 loan to consolidate and pay off both cards. I have had 4 personal loans from this CU and have always paid them off within a year or less. I have never had a personal loan of more than 4k. I am really expecting this CU to give me any amount considering my payment history and time with them.
I work for a CU and our best rate on an auto loan is 2.75%... Our rate for 599 credit and below is 7.5%... I would consider shopping around and refinancing if your score is good enough.
Otherwise I would pay the Discover off first since you're about to start paying interest on it.
Hmm. This auto loan IS a refi after my original loan was paid. I went in to get another personal loan like I did every year and the loan officer had seen my stellar payment history with my other three loans when I asked for 3500. He said definitely without pulling my credit (he eventually did) and asked me if I wanted it secured or unsecured. I asked what the difference was because I had never been asked that when I came in for the other unsecured loans. He told me the secured loan would have a better APR if I put the free and clear car on it as collateral. He said I can do it either way. I told him I would try the secured loan with the better APR since all my other personal loans were unsecured with APRs around 11 or 12. I posted here a while ago trying to figure out if I was given a choice anyway, would I be able to go into the CU and have the loan switched to an unsecured? Maybe you can give me some insight into that. Not that it's going to matter if I pay the loan anyway, but I feel I should be able to switch the loan from secured to unsecured. I am considering selling my car to my brother who needs transportation to college and wasn't sure if I could sell it if it's collateral on a loan. Thanks for the responses!
You would need to get the lein released from the car before you would be able to sell it. I don't think your brother would be able to register it otherwise.
If you don't mind saying, what is your credit score?
Just saw you post your scores...
You should definitely qualify for a better rate on an auto loan. If you're going to keep the car you should refinance the loan as an auto loan. Shop around, I bet you will find much better rates.