<ul data-eligibleForWebStory="false"><li>Deciding between loan prepayment and investing surplus amounts depends on factors like interest rates, risk appetite, liquidity needs, and long-term financial goals.</li><li>Comparing the interest on loans with expected investment returns is key; if loan interest is higher, prepayment might be wise, whereas investment might be preferred if potential returns exceed loan rates.</li><li>High-interest loans like credit cards should be prioritized for prepayment, while loans with lower rates and tax benefits could be supplemented with investments.</li><li>Maintaining a balance between prepayment for peace of mind and keeping liquidity for emergencies can be achieved through a hybrid approach, considering individual preferences and financial circumstances.</li></ul>

Got A Bonus? Here's How To Choose Between Prepaying Loan And Investing

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