[NothingRemains10]

I am so happy to say i jsut made my second to last payment on the Ridgeline yesterday, and will pay off the final $1000 on June 29th!

This is the first time I have ever had a paid off vehicle, and this is the final step of becoming debt free in our long 2 1/2 year journey, so we are so excited!

http://www.ridgelineownersclub.com/forums/showthread.php?t=60122&page=4



Is there anything we need to know/do before/as we pay it off? I know I need to talk to Honda Financing and get a pay off amount, but anything else?

 

[AG87BlkLX]

Congrats on paying your RL off & getting DEBT FREE.

 

[e_piph_a_ny]

This is the first time I have ever had a paid off vehicle,

Next to the day you bought your RL, the best feeling in the world!!:act035:

 

[NothingRemains10]

Thank you

 

[radtech91]

It's a great feeling isn't it!? I paid mine off in February and it's been so nice!


Sent from AutoGuide.com Free App

 

[cofetym]

Two vehicles paid for and one more to go here. Congratulations and keep her well maintained.:act035:

 

[Rich M.]

Not having a vehicle loan is a wonderful feeling.

I saved all of my overtime and vacation time for several years before my retirement. When I retired, they paid me in a lump sum, which allowed me to walk into the dealership (checked several dealerships for the best deal), make the deal and then pay in cash.

Again, congrats on ending the loan.

 

[hokiefyd]

Congratulations! If your financing is through Honda, they should send you a final statement for your final bill. It will likely be your regular monthly payment, or just a few pennies different. Payoff amounts change during the month because of how interest is calculated, but if you're following your regular payment schedule, just check your final statement.

They should send you the title in the mail automatically after the debt is satisfied. You could call them to be sure of how it works with them. Our CR-V is financed with Honda Financial, and we'll have it paid next June (2016). Looking forward to that. Then we, too, will be free of debt besides our home mortgage.

 

[zroger73]

I was never able (or sometimes willing) to pay off a vehicle sooner than the 5 year loan term until my last two Ridgelines. I paid the 2010 off a year early then ended up paying off what little I financed on the 2014 just months after purchase. Depending on what the 2014 is worth and how much I am able and willing to save towards a vehicle over the next 9 months will determine whether or not I'll finance a portion of the second generation Ridgeline or just pay cash - assuming I will be purchasing one. I need to wipe out my relatively small mortgage so I'll be 100% debt free, but the low interest rate doesn't make it a top priority.

 

[rmhpmi]

Great feeling to get out of debt for sure. Congratulations!

 

[Bogus919]

I dunno if your state requires it but when I have paid off vehicles in the past I notified the insurance company there was no longer a lean on the vehicle so they didn't continue sending in proof of coverage to the bank/financier.

 

[interpon]

I dunno if your state requires it but when I have paid off vehicles in the past I notified the insurance company there was no longer a lean on the vehicle so they didn't continue sending in proof of coverage to the bank/financier.

good point.. AND lower your insurance..do you really need to pay all that money for a vehicle that is depreciated for full coverage they would total anyway if it exceeds??

I usually keep major collision very high deductible..protect your own with umbrella and keep comprehensive..glass and other stuff.. but really need to look if you are over insured

 

[Dnick]

..... all good stuff. You might also consider how the title is held, now that it will be getting reissued (w/o lien holder). I'm talking about joint ownership status. If you have two names on the title, consider if you list as "John Smith & Betty Smith", or "John Smith or Betty Smith". The "or" allows flexibility for either of you to transact/sign when you get ready to sell, where the "and" requires both signatories. This varies by state, but you may want to choose a method that best suits your particular case. If you're already set there, then great..... if not, you may have to pay title transfer fee to change this??..... usually on around $15. Not sure if they will charge you if you're processing to remove lien that Honda has already signed off on. Ck with your DMV (or whatever it's called in your parts).

 

[NothingRemains10]

Woohoo!! Its all paid off!!!

 

[tmy3329]

Congrats! It's an awesome feeling!

 

[Jim D]

Woohoo!! Its all paid off!!!

Congrats! BTW, is that a picture of Tebow in your Avatar? He's latched on with my Eagles. I'm hoping he makes the team!

 

[AG87BlkLX]

Woohoo!! Its all paid off!!!

Now go do the American thing & buy a new vehicle...haha.

 

[zroger73]

Now go do the American thing & buy a new vehicle...haha.

That's right. And, with all that equity he can buy a REALLY expensive vehicle and still have reasonable payments!

 

[Parsec]

Next to the day you bought your RL, the best feeling in the world!!:act035:

I initiated a wire transfer to buy my RL the day I bought it. Does that make my 1st day with the RL more special than the OP's first day? :act024:

Now go do the American thing & buy a new vehicle...haha.

LOL, please don't!

Actually, now that you are free of real car payments you should continue making the car payment to yourself. Set up a new savings account at your bank and automatically transfer your old car payment to this savings account. You said earlier it was $1000/mo (am I reading this right?) In 4 years when it's time to buy a new car, you'll have $48,000 cash (plus interest) to spend on your new/used car. It would be a big financial mistake to allocate that $1000 to something else and end up with a car payment again with your next car.

 

[AG87BlkLX]

I initiated a wire transfer to buy my RL the day I bought it. Does that make my 1st day with the RL more special than the OP's first day? :act024:




LOL, please don't!

Actually, now that you are free of real car payments you should continue making the car payment to yourself. Set up a new savings account at your bank and automatically transfer your old car payment to this savings account. You said earlier it was $1000/mo (am I reading this right?) In 4 years when it's time to buy a new car, you'll have $48,000 cash (plus interest) to spend on your new/used car. It would be a big financial mistake to allocate that $1000 to something else and end up with a car payment again with your next car.

If the OP takes your advice he'll probably never buy new again. I'd say it's hard for an average person to write a 30K plus check for a new truck & see your bank account drop that much instantly.

I know I couldn't.