Eliminate Your Mortgage - Mortgage Overpayment
Mortgage Overpayment is a decision that all homeowners with a mortgage face. Shop Your Debt Away strongly encourages paying down the balance of your mortgage as quickly as possible under the right circumstance. However, it is not an effective strategy for everyone. On the surface, the theory behind overpayments is logical. The quicker we can eliminate our loan, the less interest will be paid by the loan holder over the life of the mortgage. When we look closer, it is not always as black and white as this.
The first step is to assess your individual situation. In the event that you have credit card debt or other unsecured debts, these should take priority over mortgage overpayment. On the other hand, if your financial situation is one where you are not carrying balances on credit cards or other loans and have 3-6 months of exepenses set aside in the bank for a rainy day then it might be time to start planning a mortgage payoff scenario.
At a minimum, it is optimal to try and make one extra mortgage payment per year. Depending on your discipline levels, you can send one lump sum payment a year, or 1/12 of the payment amount each month with your normal payments. If your mortgage payment is on a direct withdrawal system from your bank account, the latter method is perfered as it is often easy to forget that extra payment. One extra payment per year can cut a 30 year fixed mortgage in half. That is a significant savings of interest and will allow you to achieve financial independance much quicker.
Independant of your financial goals, you can never eliminate your mortgage to quickly. The average mortgage payment in the United States is roughtly $1800 a month. There isn't a single person, who in good economic times or bad, cannot use an extra $1800 a month in their bank account. Fortunetly, in addition to overpaying your mortgage there is a new strategy to help eliminate the burden of your mortgage.
Shop Your Debt Away has introduced a program designed specifically to eliminate your mortgage. No matter what your financial state is, Shop Your Debt Away will help you reduce the principal amount of your loan balance. This strategy can be used to summplement your own overpayment strategies. However, in the event that your are in a financial situation that doesnt allow you to make overpayments, this program gives you the chance to have the same opportunities as those that make extra payments.
What Shop Your Debt Away does is provide rebates that are paid directly to the bank that holds your mortgage note. These payments are provided as additional principal. Rebates are earned two ways, through the completion of free bonus offers, surveys, and trials users are rewarded with points that can be redeemed for checks made out directly to your mortgages bank. Additionaly, points can be earned for buying the items you ALREADY buy though our online mall at significant discounts. From shampoo to cloths to holiday shopping, we have partnered with all of the major retailers to provide you the best products and the best prices while reducing your mortgage balance.