How To Pay Your Mortgage Fast!
By paying your mortgage weekly you will pay off the mortgage quicker. Right?
Wrong! Try this it will only take a minute.
Step 1:
Follow my link to my website and use the calculator Extra Repayment Calculator.
Step 2:
Delete the extra payment of $100 to zero. Delete 5 years to zero.
Step 3:
Change the Repayment frequency from monthly to fortnightly and then to weekly. Did you see the “Interest Saved” didn’t change – no savings!
Step 4:
Put $44 extra and change the repayment frequency from weekly to fortnightly to monthly and see how much you save over the life of the loan.
The rule is: You have to make extra payments or put additional funds into your home loan or offset account to save money.
A good rule of thumb to save money and not feel the strain…
Step 1:
Find out what your monthly repayment is.
Step 2:
Halve it and make this your fortnightly repayment.
i.e. Go to the calculator: $2,271 monthly repayments halve it = $1,136
Fortnightly repayments with no extra payments = $1,048
Difference = $88
Step 3:
Enter $88 in extra amount.
Your saving should equal over 5 years in repayments and a saving of $82,715.