re: Paying off car faster than normal monthly rates

quote:

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If you total your car tomorrow the full balance of the loan becomes due immediately and the insured value of the car won't be enough to cover it.

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Doesn't this statement assume:

1) owner put no money down on purchase

AND

2) it is in the early phases of the loan.

If you are unfortunate enough to total your car in the first 18 months or so, then yeah you probably will be underwater with it. But beyond that, and perhaps even earlier than that if you bought a low end model of a good brand, you won't lose out.

Hell, I came out ahead on my car being totaled vs what I owed two years in it, by about a grand.