Quote:
Originally Posted by Lark7
Paying the bond off is a matter of preference and expectation for each individual. For us, as long as the Federal Reserve is depressing interest rates, the bond rate of 6.99% creates a rather large margin. So, we paid our's off several weeks ago. To each his or her own.
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It was a difficult decision for us also so we decided to purchase a municipal bond ETF that pays 6% with the $20K I was going to use to pay my bond. In my mind, it's a compromise since I can cash-in at any time if I need the money. (The 6% from the ETF almost covers the interest on my bond.)