Of the two, the second is more natural. However, I have usually heard it as “I’d rather do it while I am thinking of it than…” The expression “…now that I think of it…” is often used in the sense of “after considering it, I have changed my mind”.
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Anonymous Which is correct?I'd rather do it now that I think of it than wait to do it later and risk forgetting to do it.I'd rather do it now that I am thinking of it than wait to do it later and risk forgetting to do it.Thank youI agree that the second is more natural, either with "while" or "now that".