Has anyone heard the commercials that promise to eliminate mortgage debt in 5 years?
I’ve heard of programs that link your checking account to your mortgage account (our local news did several stories on the concept recently). Your paycheck is automatically deposited against your mortgage and any checks you write or cash you withdraw gets added back to the mortgage. It’s legitimate, but it only works if you spend considerably less than you earn. The fact that your whole paycheck goes against your mortgage balance means that your average mortgage balance is lower, which means you pay less interest. Also, any money you don’t spend each month reduces the amount of your mortgage balance. So rather than saving extra money, it all goes against the mortgage. Just beware that all companies offering this are not created equal. I’m sure there are some that charge a lot to set it up; so do your research. I found a FAQ, but I can’t vouch for the company itself (see link).
