What is the quickest way to pay off a mortgage or loan?
The answer is determination. Pay more than the minimum and always write a seperate check for the overage with a note "principal only" which will reduce the principal and then the interest can only be based on the balance with the interest. As mentioned above, pay every two weeks instead of once monthly. Try to decrease expenses elsewhere so you have more money to apply to that loan or mortgage. On a mortgage, have your amount amortized to figure out how much more you should pay to have the balance paid in 15 or 20 years compared to 30 years and pay that off the top. The interest alone will save you although the payments will be higher. Look for any and all tax deductions that you qualify for. When you have 20% equity in your home, drop the PMI insurance but pay that amount to the loan. You are better off paying off an unsecured loan at a higher rate than a mortgage loan at a lower rate. Don't take on new debts. Sometimes refinancing a mortgage is a great idea (to lower interest) but do not consider variable rates... EVER. Get a fixed rate!!! As I originally said, it's about determination. Make a plan and stick to it.
Paying half as much every two weeks will pay it off quicker than monthly payments, you will make one extra payment a year and save some on interest. Winning the lotto is fastest, if it happens.
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