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Hi everyone,
I'm fairly new to this board and I'd like to thank
everyone for all the great info and support. My credit
situation isn't too bad, but I'm hoping someone here can give me an answer.
Two months ago, my wife and I purchased a bedroom set and financed it through American General Finance Co. at a cost of $2118.53 @ 23.99%. (I know, should have bought it cash but the only other credit I'm paying on is a First USA Visa that'll be paid off by January). The question I have is this. My payments are $83.11 monthly and I paid $133.11 my first payment ($50
extra in principal or so I thought). But the statement I received today has an opening balance of $2991.96 and credited me $133.11 towards the principal. I thought if I paid extra each month, I'd save on interest but they seem to have tacked it all on at once. Is this how they do it, am I off-base or shouldn't I be able to pay down the loan the same as a mortgage, with extra principal each month. Sorry for the length of this post and thanks for any help...

Jim
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