Pay Half a Car Payment Twice a Month?

By Bankrate.com

Dear Driving for Dollars, My interest rate on my car loan is high, and I can't refinance. Can I really save money by making half of my car payment twice a month? -- Chuck

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Dear Chuck, This is a great idea to help you save money and effectively lower your interest rate, but make sure your lender allows making half of a car payment. The amount you will save depends on your interest rate, how much you owe and the amount of time you have remaining on your car loan. To see the savings, use Bankrate's biweekly mortgage payment calculator and enter the numbers associated with your car loan.

Bankrate's content, including the guidance of its advice-and-expert columns and this website, is intended only to assist you with financial decisions. The content is broad in scope and does not consider your personal financial situation. Bankrate recommends that you seek the advice of advisers who are fully aware of your individual circumstances before making any final decisions or implementing any financial strategy. Please remember that your use of this website is governed by Bankrate's Terms of Use.

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