Which one will be better to clear off the home loan ASAP :
- Paying monthly extra pre-payment
- Putting pre-payment amount in an Home-loan-saver-account
- Putting pre-payment amount in SIP/Mutual Fund for 3/6/12 month
Please do ask if more info needed regarding this question.
EDIT: Answer to asked questions:
a) What's the interest rate on the home loan? => 8.5% b) What country are you in? => Mumbai, India c) what is the SIP/mutual fund rate? => Though it's fluctuate but experts says it could be in between 12-20% d) What is the balance on the home loan? What is the term on the home loan? => Balance is almost 34L. Duration is of 300 month, out of which I had paid for 9 month so far. e) Does "Home-loan-saver-account" has a guaranteed higher interest rate that the loan ? => I think, I must inform you what is Home-loan-saver-account in India.
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