I know how it sounds, but this just occurred to me today. I am close to hitting 3 years of service and have maxed TSP the last 2 years. My balance has just hit 75k at 25 years old, all in C and S.

    I have 15k remaining on my car loan with the lowest rate I could possibly get, 6%. Would it be unwise to take a small portion from my TSP balance and eliminate my car loan?

    Yes, that money would be removed from the market, but 4.75% interest would be paid back into the account instead of losing 6% outright. It be would as if that portion was temporarily moved to the G fund.

    Right? I don’t know

    TSP loan to pay off car loan?
    byu/Arcidamus inMilitaryFinance



    Posted by Arcidamus

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