Does this statement mean that I'm not knocking down any interest by paying off sooner?

"Any additional payment amount will be applied to the next monthly payment. If the account is paid ahead 3 payments, any additional funds will be applied to the principal balance."

This page is a permanent link to the reply below and its nested replies. See all post replies »

4meAndyou · F

No, it just means you have to pay the equivalent dollar amount of three payments (or more) in order for it to go toward your principal. Then, as you know, you are paying interest on the REDUCED principal, which means your interest will be lower.