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Valued Social Butterfly

Re: mortgages

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Message 1 of 2

I am sorry, Alwaysnmyhrt, but this really doesn't make sense to me; it seems like a lot of work when it could be done soooo much easier.  I always added extra principal payment to my regular mortgage payment - it has been paid off for years now.

 

You are having to pay off the cash advance so why not just take the money which you are paying to the credit card company to pay off the cash advance and send it in as an EXTRA principal payment each month with your regular mortgage payment.

 

If you can keep can keep sending in extra principal payment for an extended period of time, it will reduce your mortgage rapidly.  Interest is applied each month on the remaining mortgage balance so even reducing your principal by an additional $100 a month will add up in interest saved; if you can do more, more interest will be saved off the mortgage and it will be paid off early.

 

Make sure that you note it as an extra principal payment so that it will applied correctly.

 

An amoritization schedule helps when you are making mortgage payments especially when you are adding extra principal payments.  An amortization schedule helps you keep up with your mortgage; making sure that all payments are applied appropriately.

 

Here is a good place to do an amortization schedule.

Bankrate Mortgage Calculator and Amortization Schedule

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mortgages

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Message 2 of 2

I have found a way to pay down your principle with a lower interest rate or no interest at all without refinancing.  You must have good credit &  be a timely bill payer.  When credit cards have the promos for balance transfers the fee is usually $5 or 2% which ever is more. So if you have a 4% mortgage rate and you do a balance transfer of $5 - $10K you only pay a one time fee of 2% of the transfer amt and use that balance transfer money to apply directly to your mortgage principle and you don't pay ANY interest on the principle you pay down.  Sometimes banks are not timely with applying payments and the balance transfer check must be cashed before a certain time, so you can make the balance transfer check out to yourself and deposit into your account and use your own checking account to apply payment to your mortgage INTEREST FREE!!!!!!!! I have been using balance checks for this purpose since I bought my house in 2011. So far no problems.  I have used them so often and have paid the balance off in a timely manner ; my reward; I am getting promos from some credit cards for 0% transfer fee!  I have saved THOUSANDS of dollars in mortgage interest! The only wrinkle I have come across is ,as I stated before, you MUST PAY EARLY OR BEFORE THE EXPIRATION DATE. I continue to make my monthly payments thru direct payment. also.

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