Comments on: Pay Your Mortgage Off Early

By: Beau

Beau — Fri, 21 May 2010 23:12:04 +0000

If you are going to deviate from the agreed to payment plan. You need to inform your mortgage holder of what you are doing. Sometimes, they will hold the checks in an account, until the end of the month, without putting the funds towards the mortgage. Thus eliminating any interest reductions you would have realized. You will have to watch your statement to make sure they are properly calculating the interest rate.
BeauÂ´s last blog ..Home Loan Remortgage â€“ Home Remortgage Basics

By: Sean

Sean — Mon, 23 Nov 2009 18:06:35 +0000

True – most people are unaware that interest is compounded weekly on mortgages, not monthly. If you have the ability to make weekly payments it can add up.

Mama Bird – http://www.mortgage101.com/mortgage-principal-calculator go to this website and you can calculate what the principle would be. I’m not aware of any useful spreadsheets…

By: Kyle

Kyle — Thu, 13 Aug 2009 14:57:07 +0000

The best thing you can do to make sure the principal is being reduced is to check your monthly statements. They will go back and correct it, and the interest payments. You are right to not trust them as more often than not they will apply the payment as a payment and not to principal.

By: Doug

Doug — Thu, 13 Aug 2009 01:58:06 +0000

I would also like the spreadsheet as we have talked about paying extra but feel we will lose track and the bank will mess up (they have already messed up and that was just regular payments). djbarry98@care2.com

By: Bret

Bret — Mon, 13 Jul 2009 21:20:37 +0000

I’ve been using the Pay Extra Every Month plan and hope to cut 10 years off of my 30 year mortgage.

This is the easiest and most convenient method I have found. And, if you have a tough month, you can just pay the regular amount.

By: Mama Bird

Mama Bird — Mon, 13 Jul 2009 14:30:34 +0000

I want to start paying extra on our mortgage each month. Does anyone have a good spreadsheet or tracking system to make sure the extra you pay is coming off the principle? Frankly, I don’t trust my mortgage company to do it right.

Thanks!
mb@flyawayfamily.com

By: JerryB

JerryB — Fri, 10 Jul 2009 01:57:38 +0000

When I refinanced the last time, I kept up the same payment that I had previously had. Once I finished paying off my consumer debt I upped that to $1k of principal each month. If I get an extremely good bonus I’ll add some of that to my payment as well.

By: sekishin

sekishin — Wed, 08 Jul 2009 17:06:34 +0000

Currently, we round up to the nearest $100 on our 15yr loan. It is almost an extra payment per year . . .

By: lrgche

lrgche — Wed, 08 Jul 2009 14:16:45 +0000

I use a combo:
Put biweekly payments into savings account with automatic monthly payments on the mortgage. Then every 6 or 12 months make a principal only payment with the extra money.

With “today’s economy” it provides a little peace of mind that the extra money would be available all the way until I pull the trigger on the principal payment, 12+ months later.

By: Craig @ Money Help For Christians

Craig @ Money Help For Christians — Wed, 08 Jul 2009 14:13:58 +0000

We are currently trying to get our house paid off as it is the only debt we have. We have decided that ANYTHING we have extra each month will go towards the mortgage (including some extra payment we budget each month). Any time we come into some EXTRA money in a month we automatically add it to the house. Deciding what to do BEFORE you have extra money makes it easier to put towards the mortgage when you get it.