On 1/5/06, Jeffry Houser <[EMAIL PROTECTED]> wrote: > Paying every two weeks will not necessarily speed up your mortgage, it > really depends how interest is accrued.
Yeah, in some cases banks may not actually process the payments against the loan/interest each month. They mark it as recieved and deposit the check, then sit on all the money until the end of the year and then lump pay the whole year calculating out the interest in full. They make money on your money in escrow, and they make the full interest money too. I checked with my partner who handles the finances and she said that after running the numbers on our payments, the interest difference between paying biweekly and paying an extra full payment at the end of the year against the principle worked out to be nearly a wash. I'm so glad I don't have to figure these things out on my own! ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~| Message: http://www.houseoffusion.com/lists.cfm/link=i:5:190655 Archives: http://www.houseoffusion.com/cf_lists/threads.cfm/5 Subscription: http://www.houseoffusion.com/lists.cfm/link=s:5 Unsubscribe: http://www.houseoffusion.com/cf_lists/unsubscribe.cfm?user=11502.10531.5 Donations & Support: http://www.houseoffusion.com/tiny.cfm/54
