yankeeslover wrote:
M GO BLUE.... I pay roughly $225.00 per month...If I divide by 12 that comes to $19.00...if I pay $20.00 more per month, what will this acchive? will that even put a dent in what I owe? im just courious...... thanks...
Yes.
It really doesn't matter how much extra you pay. Anything you pay above your payment goes straight to the principle. Most of your payment is just paying interest right now. Anything over that amount, especially at the start, makes a huge difference in the long run. The less you have in principle, less interest gets compounded, the quicker you pay it off, the more money you save.
Make sure it is applied to principle!
I always pay $50 extra on my home loan. It's knocking years off the payoff.
