Big Interest Savings: Available to Anyone with a Mortgage

Making consistent additional payments on your loan principal will provide enormous returns. People pay extra in a few different ways. For many people,Perhaps the easiest way to keep track is to make 1 additional mortgage payment a year. But many folks won't be able to swing this huge additional expense, so dividing an additional payment into 12 extra monthly payments is a fine option too. Another very popular option is to pay half of your payment every two weeks. The result is you will make one extra monthly payment every year. Each option produces slightly different results, but they will all significantly shorten the length of your mortgage and lower the total interest you will pay over the life of the loan.

Lump Sum Extra Payment

Some folks can't manage any extra payments. Keep in mind that most mortgages will permit you to make additional payments to your principal at any time. Whenever you come into unexpected cash, consider using this rule to make a one-time additional payment on principal.

If, for example, you were to receive a surprise windfall just a few years into your mortgage, paying several thousand dollars into your home's principal will significantly shorten the duration of your loan and save enormously on mortgage interest paid over the life of the loan. Unless the loan is very large, even modest amounts applied early can produce huge benefits over the life of the loan.

America's Money Source can walk you America's Money Source can answer questions about these interest savings and many others. Call us at 4078987559.