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From: Alim Nassor 1 on 29 Mar 2010 00:51
On Feb 9, 6:41 am, jeff <jeff_th...(a)att.net> wrote:
> VFW wrote:
> > In article <hkpghi$a...(a)news.albasani.net>, jeff <jeff_th...(a)att.net>
> > wrote:
>
> >> Bill wrote:
> >>> If a mortgage payment is due on the 30th of each month, is there any
> >>> advantage to paying it on the 1st of each month?
>
> >>> (Pay earlier than the due date each month)
> >>   That all depends on how your mortgage is written!
>
> >>    Jeff
>
> > who would be the best bet to analyze your mortgage with frugality in
> > mind, An accountant?
>
>    You can try just reading it. What you really want is to make an extra
> payment, ie two on the 30th at least once. That extra should come purely
> off the principal, early in a loan it is almost all interest, so you are
> ahead there. After that, I wouldn't bother. The math to figure out exact
> interest depending on actual payment date is messy and I doubt anyone
> applies it.
>
>    Paying more, so you pay off early can be substantial. Just what you
> can do and get credit for should be written in. Google yielded this:
>
> http://www.mortgageqna.com/mortgage-payment/early-pay-off-penalty-for...
>
> I'm inclined to think that your real estate agent should have told you
> what was allowable. It's been a while since I've had a mortgage, so I
> don't know what is standard now. Back then you could pay more and it
> would come off your principal. Now, there are gotchas.
>
>    I misread this a bit when I first looked at it, so I wanted to clear
> up any misunderstanding. I doubt paying on the first, if your loan is
> due on the 30th, will be of any benefit.
>
>    Jeff- Hide quoted text -
>
> - Show quoted text -

Real estate agents are not the person to ask about mortgage terms.
They have nothing to do with the mortgage.
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