Split payments on car notes?

[Anonymous]

I was recently approved for auto financing through Capital One.  At the dealership,  the finance guy suggested that I could save money on interest if I split my payments into two payments per month.  My first payment isn't due until June, but I plan to start making in May.  Does anyone know if Capital One allows partial payments if they are made prior to the due date?

[Mjhall85]

You can make payments like that with capital one, as long as total due is paid before due date you will be fine.they also allow for principal only payments if you have extra and wanna pay down more.

[Anonymous]

Thanks.  It's good to know I have a couple of ways to save on interest. 

[Mjhall85]

Well depending on the rate you got, down the line may be able to find a lower rate and keep making payments more often that note will be paid down in no time!

[Loquat]

CapOne does allow for bi-weekly payments and you can even set it up to be done automatically. The reason you save more with bi-weekly payments over monthly is that you'll make 26 bi-weekly payments which is one extra payment each year that you would if you were just doing monthly.

[Shooting-For-800]

You can also pay up to one month in advance.

I stay 45-59 days from due date and pay anextra $50 per month.

You cannot get ahead more than that for due date.

I am 5 years in and my min payment actually dropped lower and fluctuates now.

GL!

[Anonymous]

Good to know.  My due date is in June.  I wanted to get ahead a month, so I made my first half payment yesterday and plan to make the other in a week.  I want to stay ahead and maybe even make a couple of extra payments here and there.

[Anonymous]

Actually if you set up auto-pay you can get quite far ahead.  I financed my son's first car with Capital One - it was a 3 year loan, from November 2019 until November 2022.  The car is now paid off, but I had autopay set up.  I can't recall if it was weekly or biweekly.  I had it set to pay a bit more than the actual payment was, either way.

I paid the car off in January.  But the loan was on track to end in May 2022 - 6 months early.  That is what was displayed on the Capital One payment portal.  I'm guessing if the loan had continued rather than me paying it off, the final payment date would have been even sooner.

So, I'm not sure if manually paying doesn't let you get too far ahead but in my experience an autopay will just keep chugging along no matter how far forward you get.  I refinanced one of my cars with NFCU in December, and I have a similar setup.  I'm not sure how far ahead they will let me get but so far I'm good through August and my next autodraft is still scheduled.

[dunn2500]

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@Shooting-For-800 wrote:

You can also pay up to one month in advance.

I stay 45-59 days from due date and pay anextra $50 per month.

You cannot get ahead more than that for due date.

I am 5 years in and my min payment actually dropped lower and fluctuates now.

GL!

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i did same thing with last 2 trucks and about to start again on this one......just gives you a buffer in case as well, my fico scores seemed to jump a little higher quicker as well, idk probably just balance being lower earlier...

i believe pen fed is 3 payments ahead max and then principal if you keep paying, i was up to 3 months ahead at one point....

[AlanGJP]

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@Shooting-For-800 wrote:

You can also pay up to one month in advance.

I stay 45-59 days from due date and pay anextra $50 per month.

You cannot get ahead more than that for due date.

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I don't know if that's changed recently, but I'm usually several months ahead. (Next payment 2-3 months off)