https://boards.hellobee.com/ Pregnancy, Baby and Parenting blog, by Hellobee en Fri, 24 Apr 2026 04:37:04 +0000 https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments/page/2#post-977086 Wed, 31 Jul 2013 03:13:20 +0000 sunny 977086@https://boards.hellobee.com/ <p>Don't forget about taxes on your interest earned. It's not as simple as earning 4% interest vs paying 3% mortgage. Though it is further complicated by the mortgage interest deduction.... </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments/page/2#post-967516 Fri, 26 Jul 2013 15:27:45 +0000 plantains 967516@https://boards.hellobee.com/ <p>@Mrs. Jacks: fabulous, thank you so very much. </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments/page/2#post-967501 Fri, 26 Jul 2013 15:16:25 +0000 Mrs. Jacks 967501@https://boards.hellobee.com/ <p>@plantains: See above for more information :) </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments/page/2#post-967498 Fri, 26 Jul 2013 15:15:47 +0000 plantains 967498@https://boards.hellobee.com/ <p>@Mrs. Jacks: I've never seen that list! I've been looking on the NAFCU website which isn't very helpful, so thanks! </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments/page/2#post-967465 Fri, 26 Jul 2013 15:04:21 +0000 Mrs. Jacks 967465@https://boards.hellobee.com/ <p>@plantains: Here's the list of all the CU's in NY. Have you already looked through this?</p> <p><a href="http://thecommunitybanker.com/cu_links/usa_new_york.htm" rel="nofollow">http://thecommunitybanker.com/cu_links/usa_new_york.htm</a></p> <p>And here is the list of percentage rates for 2013. They dropped since we opened our accounts... but Consumers is the one I'm thinking of in Illinois and they are still about 3% and accept anyone. Hopefully they'll go up again in 2014.<br /> <a href="http://www.bankrate.com/finance/checking/high-yield-credit-unions.aspx" rel="nofollow">http://www.bankrate.com/finance/checking/high-yield-credit-unions.aspx</a> </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments/page/2#post-967401 Fri, 26 Jul 2013 14:42:49 +0000 dagret 967401@https://boards.hellobee.com/ <p>before we refinanced, i would round our payment up to the next hundred, and half of my bonus would go towards the principle. With our refinancing, coupled with the cost of daycare, I haven't paid extra since April. </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments/page/2#post-967330 Fri, 26 Jul 2013 14:21:02 +0000 plantains 967330@https://boards.hellobee.com/ <p>@Mrs. Jacks: I love you even more than I already did!!! </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments/page/2#post-967305 Fri, 26 Jul 2013 14:13:50 +0000 Mrs. Jacks 967305@https://boards.hellobee.com/ <p>@plantains: I'll see what I can find out. I went to the national association of credit unions website and then went through all the ones I was eligible for. We have 2 at 6% and 1 at 4%. We just have to keep track of the requirements for each every month. </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments/page/2#post-967273 Fri, 26 Jul 2013 14:03:23 +0000 plantains 967273@https://boards.hellobee.com/ <p>@Mrs. Jacks: For 4% I am willing to do it! </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments/page/2#post-967266 Fri, 26 Jul 2013 13:59:29 +0000 Mrs. Jacks 967266@https://boards.hellobee.com/ <p>@plantains: there is one in Chicago that allows anyone across the country to do it. I think the rate is 4%, but you have to do 10 transactions a month. </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments#post-967214 Fri, 26 Jul 2013 13:38:34 +0000 plantains 967214@https://boards.hellobee.com/ <p>@Mrs. Jacks: I have tried to find credit unions in the NYC area that offer these kinds of rates that I would qualify for. Haven't found even 1 :(</p> <p>To answer OPs question, I don't pay much towards the principle at all. Interest rate is only 3.625 and DH's 403b has an 8% guaranteed rate of return. I'd rather put all our extra money there. </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments#post-966920 Fri, 26 Jul 2013 11:46:05 +0000 littlek 966920@https://boards.hellobee.com/ <p>We are going to put DH's bonus towards the principal value of our primary residence. </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments#post-966898 Fri, 26 Jul 2013 11:41:43 +0000 Mrs. Jacks 966898@https://boards.hellobee.com/ <p>@Freckles: You'll kill me then, when I tell you that we have 2 that make 6%. Have you checked out credit unions? Ours gives this percentage rate on the first 25K. </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments#post-966843 Fri, 26 Jul 2013 11:27:46 +0000 Sapphiresun 966843@https://boards.hellobee.com/ <p>We do a lump sum payment usually in December. We don't spend my salary in our day to day budget and are allowed to put up to 20% of the initial mortgage amount once a year. So we save it in a high interest savings account all year, and then will put $20-30,000 lump sum at the end of the year depending how many other "extras" we've indulged in.<br /> But we live in an extremely high cost of real estate area, and essentially use the mortgage on our condo as a way to save up a down payment that keeps us in a position that we don't ever have a mortgage over $300,000... so we need to save up about $400,000 since I'd guess we'd be looking at a house that would be at least $700,000 in a few years. </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments#post-966819 Fri, 26 Jul 2013 11:20:52 +0000 Freckles 966819@https://boards.hellobee.com/ <p>@Mrs. Jacks: 4%! I think i'm barely seeing that in the returns from some of my funds these days. :( </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments#post-966814 Fri, 26 Jul 2013 11:20:22 +0000 Bookish 966814@https://boards.hellobee.com/ <p>@MrsBrewer: that's exactly why we haven't made any extra payments. We have a great interest rate on the mortgage and really need to pay down our student loans first. </p> <p>However, in the next year or so we plan on using DH's end of year bonus to put extra towards the principal every year. </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments#post-966798 Fri, 26 Jul 2013 11:16:40 +0000 Mrs. Jacks 966798@https://boards.hellobee.com/ <p>@Freckles: I can make more money in my savings account (4% interest) than I can save by paying my 3% loan faster. So we're in no hurry! </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments#post-966730 Fri, 26 Jul 2013 11:03:24 +0000 Freckles 966730@https://boards.hellobee.com/ <p>@Mrs. Jacks: I guess i see low interest rates as paying as little interest as possible! I shudder thinking about the interest rates of the mid-80s during my parents' time. </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments#post-966694 Fri, 26 Jul 2013 10:52:50 +0000 HLK208 966694@https://boards.hellobee.com/ <p>We take one mortgage payment, divide it by 12, and add that to my monthly mortgage. </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments#post-966674 Fri, 26 Jul 2013 10:47:28 +0000 Freckles 966674@https://boards.hellobee.com/ <p>Our mortgage is bi-weekly, and so we make extra payments on each mortgage payment. In the first year and a half we doubled up on each mortgage payment because our interest rate was only 2.6%. We also pay down a lump sum amount with part of my bonus and tax return.</p> <p>We also increase our mortgage payments (towards principle) by 10% each year. </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments#post-966583 Fri, 26 Jul 2013 10:22:51 +0000 PurplePeony 966583@https://boards.hellobee.com/ <p>@swedishfish: Is the interest you're earning more than what you're paying on the mortgage? Our interest rates on deposits are crummy and our mortgage is the highest-rate debt we have (3.875%, compared to my last student loan at 1.6%) so we put extra toward principal every month because the earned interest from keeping the money just isn't worth it. If the opposite was true, I can see how it would make sense to do it the way you describe.</p> <p>I know it would probably be smarter financially to invest the extra payments instead, but psychologically, we just want the burden of the mortgage gone ASAP. My DH in particular is really debt-averse so carrying a pretty hefty mortgage just kills him. </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments#post-966448 Fri, 26 Jul 2013 09:50:06 +0000 yoursilverlining 966448@https://boards.hellobee.com/ <p>We pay a little bit extra each month (I like paying in round numbers, so I round up and then add on another hundred or so). We also make an extra lump sum payment at year end. </p> <p>Our investments make a much higher return than the interest rate of our mortgage, so I'd rather put my money there; although I'd also love not to have any mortgage! </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments#post-966431 Fri, 26 Jul 2013 09:46:16 +0000 PurplePumps 966431@https://boards.hellobee.com/ <p>We used to pay 400 extra principal every month, but the decided it wasn't worth it. With a rate of 3.375%, it's just about keeping pace with inflation, so our money today is better spent going into our investments, which typically do better than that or just kept free for us to spend on things we want to do like go on trips. In a few years, the value of this mortgage is going to feel so much less due to inflation, there's no point on putting any extra money in at all to us. </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments#post-966345 Fri, 26 Jul 2013 09:28:06 +0000 cheert16 966345@https://boards.hellobee.com/ <p>We pay our mortgage weekly through a payment service. It gets deducted right from Our bank account. We end up paying 5 extra weeks of payments. Also we pay an extra $100.00 a week so we pay an extra $400.00 a month towards put mortgage. DH just wants to pay it off!! On our payment schedule now, we have 9 more years on a 30 year mortgage. We will pay it off like 12 years early. </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments#post-966320 Fri, 26 Jul 2013 09:22:50 +0000 Andrea 966320@https://boards.hellobee.com/ <p>We do a lump sum at year end. </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments#post-966318 Fri, 26 Jul 2013 09:22:44 +0000 SugarplumsMom 966318@https://boards.hellobee.com/ <p>We set aside money each month to pay a lump sum once a year. This is only because we can't do it online. We have to call the bank and talk to someone to do it. It sucks. </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments#post-966302 Fri, 26 Jul 2013 09:18:02 +0000 ElbieKay 966302@https://boards.hellobee.com/ <p>Our mortgage rate is 3.625%, so we don't prepay. We would rather keep/invest the cash. I don't think we will ever be able to borrow money so cheaply again. And it's our only debt, albeit a sizeable one. </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments#post-966292 Fri, 26 Jul 2013 09:16:21 +0000 Mrs. Champagne 966292@https://boards.hellobee.com/ <p>We increased our payment by 20% (that's the max it can be increased by) then we ca put up to another 20% down per year. We will probably put about $10,000 a year on the house minimum. Just increasing our payment by 20% took 10 years off our mortgage! </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments#post-966282 Fri, 26 Jul 2013 09:13:17 +0000 pui 966282@https://boards.hellobee.com/ <p>@MrsBrewer: I don't know how common it is... also I am in Canada and things may be different here! </p> https://boards.hellobee.com/topic/how-do-you-make-extra-mortgage-payments#post-966274 Fri, 26 Jul 2013 09:11:59 +0000 mrskc 966274@https://boards.hellobee.com/ <p>We pay extra each month. </p>