Wouldn't he gain the advantage of reducing interest payments if he put that into his property instead of his car?

What's the interest rate on your housing loans?

Car loan interest of 2.7% is not effective rate, more like 4.X% as interest is calculated on total loan amt as oppose to reducing amt. Hence u r better off paying off your car loan then keeping in FD.
BTW, ur GF really lucky.... must be 'model like' for u to sayang so much!!!!

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Added on March 1, 2011, 1:54 pm
Top up your margin, might have chance to break-even or even abit profit within this week 

Forget bout ptptn, there is no penalty or late charges. Treat it as long term loan since the interest rate is lower then housing loan (is it 4%???)

yalor.....but i think u make a good suggestion as the other guys as well.... credit card is always a pain....especially when u go out with frens and you helped settle bill and they pay you back as cash and later you forget and spent it...     ..

but I already change this once i realize why my card statement is always high....now when it comes time for bill, I will take out my cash of my portion...then see who can settle it...kakaka.... (bopian, sry lor frenzzzz for my sake of pocket...)..now I can notice my credit card statement is back to normal as it only have auto pay for insurance + petrol...lol
i wait my gf works to be more stable next month then she will bear the car loan of hers.... no worry...she is not as what i wrote ( i try to be humour a bit la...sry la)...i always tested her..can see she is someone reliable (she definately will pay back the load i helped her to pay...lol) and can spend ur life with (btw...she is NOT pretty like angela baby...but she is really helped me to save my cash by keep nuggling me to spend less..lol)..she has started work for the first month and got her salary d..haha....but this month I only allow her to pay for house util bills and maintainence...meals we use "A-A" system.

hoped my life getting stable as soon as possible..

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Added on March 3, 2011, 2:27 pm
johnrck,

we are same boat who pays loan for gf...but u are a lot loaded than me.....howur  do you do that for a cash of 200k even you said ur salary is used for 4 items (2 house loan + 2 cars?? ) ...u r insane since you no nid other expenses like meals..etc? ur gf no shopping? no go korea bbq? no ask you go movie? or sit at some cafe?      

jeff is right, sorry for giving wrong info.

car loan interest is determined by initial amount, hence flat interest every month (quite alot)

house loan interest is determined by unpaid principal amount, hence interest decreases over time.

But we shouldn't make decision based on the interest saved by car loan and house loan.
One rule of thumb is to settle all debts except the home mortgage.

So I still suggest you to settle car loan first. It is unwise to talk about saving when one is in liability.

Age: 28

Asset - Free disposable cash of RM250K
Liabilities - None (I dont have a car and property yet)

I plan to dump 60% of my cash into share market after June 2011 and later will buy a property.

Any advice? Thanks.

johnrck99, at what interest rate are you paying your mortgage?
The repayment seems to be ridiculously high for the loan amount, and with such high offset cash in the flexi account.

Age: 30
Occupation: IT Administrator
Marital Status: Marry
Children: two kid(4)(1)

Asset(s):

House (2 stories)-
RM400k Outstanding Loan: RM 220k 7 years more

Car (Myvi)-
Market Value: RM 30k finish paid

Liability (ies):

Insurance:
Life: RM10k

Investment:
Mutual: RM10k
FD: RM 10k
Gold: 40k
Invest in company: 330k
ASW: 10 k
Cash in hand
RM6k

Age: 38
Occupation: Own Business (Oil & Gas)
Marital Status: Marry
Children: two (12)(14)

Asset(s):

Bangalow lot :-
  a) Damansara Kuantan (7.2k sqft) - Freehold
  b) Astana Golf Resort (12.75k sqft) - Leasehold
  c) Bkt Jalil Golf Resort (12.5k sqft) - Freehold

Car :-
  a) X6 M
  b) CLS 55 Amg
  c) R8
  d) Alphard
  e) A4

Liability (ies):
Loan Installment, not an issues cause Dividend/Interest can settle it every year...

Investment:
Saving: RM1.25m
Current: RM750k
FD: RM36m
Mutual: RM2.5m
Invest in Business: >RM5.0m