My goal is for the payment to go down ..... with 2 more deployments overseas i'll be able to pay the loan off about 20 to 25 years early...but in the mean time i'd like to have a lower monthly payment so i can have more spending cash
2007-03-17 06:32:48 · 5 answers · asked by chris t 2 in Business & Finance ➔ Credit
Invest the 20K in mutual funds or some type of investment - you'll earn more return on your 20k than trying to pay off your mortgage.
2007-03-17 06:37:21 · answer #1 · answered by Candy H 2 · 0⤊ 1⤋
If you do not want to go through the hassles of refinancing, why dont you just put the $20000 in a savings account and do your extra cash spending from there?
Or you could "Reduce" the payment by $100 a month by taking $100 from that saving account.
Its the same pie, u can slice and dice whatever way you want.
2007-03-17 15:48:19 · answer #2 · answered by mystiqalsoul 1 · 0⤊ 0⤋
You're not going to lower your monthly payment by paying extra on it. You only do that by refinancing it for a longer term. If you pay that much on it, you'll be shaving a few years off of the back end of the loan so you're paying it off earlier.
2007-03-17 13:38:12 · answer #3 · answered by LA Law 4 · 1⤊ 0⤋
Your payment will only go down if you refinance. Paying a lump sum will only make your term shorter.
2007-03-17 13:36:26 · answer #4 · answered by Brian G 6 · 1⤊ 0⤋
you will jmost likely just apply more to the interest and pay it off early...but a lot earlier . $20,000 is a significant amount to apply to this.
2007-03-17 13:38:36 · answer #5 · answered by Anonymous · 0⤊ 0⤋