Should I pay off debt or invest in savings?
This tool helps you determine if paying off debt or investing the same amount is the better financial decision.
When you pay off debt, you eliminate interest expense. During the time you make debt payments, you sacrifice interest income that you could have earned if you had invested the same amount. However, once you pay off the debt, you can begin to earn interest income on the money you would have spent each month on debt payments.
Note: This tool is not appropriate for decisions regarding home loans or investment loans. It is intended for decisions regarding credit card, auto, and other personal loans.