I also have about 5200 in a mutual fund I was thinking about selling. I would then use that to payoff the car. Not sure if that is a good idea but I don't see the fund increasing in value a ton this year. Plus it is a actively managed fund. I bought the shares before I knew the benefit of index funds. Any suggestions?
I'd definitely get out of that fund, being actively managed I assume it has much higher fees than most good index funds.
Paying off the car with it isn't a bad idea. Just remember to estimate your tax liability on the sale and put that much behind, so you don't get a surprise tax bill you weren't prepared for.