# Interest Only or Principal & Interest?



## kerosam (24 November 2006)

Hello forumites,

I am in the process of getting a loan from the lender, probably to invest in some blue chips or managed funds. Intention is holding for more than 12 months. I was wondering which option would be better:

1. Pay the investment loan interest only and claim the whole lot (interest payable) when I do my tax return 

OR

2. Pay principal and interest. Down side would be not claiming more interest, I think.

Any constructive optional is appreciated.  : 

thanks in advance.


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