For the past few months I have been toying with the idea of setting my home loan up to be a bi-weekly payment.
A true bi-weekly, with 26 payments a year.
I already pay extra on the principle but the bi-weekly would make a bigger payment over the year.
After carefully weighing both the advantages and disadvantages (yes i did accually write out a list of pros and cons), i'm still not positive it's the best way to go.
I know in the long run it will save me alot of money and cut time off my loan, but I'm still not convinced I can rearrange my other bills in a way that makes it all possible.
I did lookup my next 3 check month which is February, and wonder if I should just wait until then.
Does anyone have any experiance with bi-weekly payments? Do you like the way it works? Are there any real drawbacks? (not just the ones I dream up)
Any advice would be helpful and appreciated.
Bi-Weekly Mortgage?
December 12th, 2008 at 03:59 am
December 12th, 2008 at 04:12 am 1229055143
http://www.middlepathfinance.com/2008/11/biweekly-debt-r.html
December 12th, 2008 at 02:49 pm 1229093371
You may want to consider depositing your extra paychecks to the mortgage. It will have the same effect.
Also, then you won't be committed to the extra payments, say if you lost your job or something.
I think they are a terrible deal, personally.
December 12th, 2008 at 04:44 pm 1229100298
I worried about what would happen if we had to pay late for some reason...like MM says, losing a job or something. Or some emergency...If you pay late, things get ugly.
Keep up your extra payments!
December 12th, 2008 at 07:01 pm 1229108467
December 12th, 2008 at 10:41 pm 1229121691