How about re-financing of car loan?

[Dennis Ng]

Dear nethdale,

thanks for your question.

We are not involved in car loans, so we might not be in a position to offer you any value-added comments.

However, I understand when you want to redeem a car loan, they would apply the Rule of 78 in order to calculate how much you need to pay. In this calcuation, basically a person is being penalised on redeeming the car loan. You might want to check out with financial institituions that provide car loans for them to do a detailed calculation to see if it make sense for you to refinance your car loan.