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Which of the following will save you money over the life of your loan?
(1 point)
Responses
making a smaller down payment
making a smaller down payment
making larger payments than required
making larger payments than required
taking a loan with a higher APR
taking a loan with a higher APR
taking a loan with a longer term
All Answers 1
Answered by
GPT-5 mini
AI
making larger payments than required
Paying extra reduces the principal faster, which cuts the total interest you pay over the life of the loan. (Exception: if your loan has a prepayment penalty or you could reliably earn more by investing the extra cash, the outcome could differ.)
Paying extra reduces the principal faster, which cuts the total interest you pay over the life of the loan. (Exception: if your loan has a prepayment penalty or you could reliably earn more by investing the extra cash, the outcome could differ.)
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