Add Extra Principal To Your Mortgage Payments

Reduce the amount of interest you pay on your mortgage payments by simply adding additional principle dollars to the payments you make each month. You don't have to do this every month; you could do it once or twice a year if you receive bonuses or a tax refund. No tricks, no complicated formula. All you need to do is check your mortgage document to see if there is a pre-payment penalty clause (usually paragraph 17), and if not, you are allowed to make additional payments in any amounts at any time over the term of the mortgage.

By Rachel's Mom