Talk of The Villages Florida - View Single Post - Bond Payoff
Thread: Bond Payoff
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Old 03-10-2017, 02:10 AM
retiredguy123 retiredguy123 is online now
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Quote:
Originally Posted by bandsdavis View Post
Everyone's circumstances are different, but our financial adviser said we should not pay it off. He said we would make more from the investments than we would save by the payoff. After 5 years, this is proving to be accurate.
It would not make financial sense to borrow money at more than 7 percent interest to invest it, which is what you are doing by not paying off the bond. If you know that you will never sell the house, the best financial decision is to pay it off.