When I went to make my mortgage payment online, I saw a link advertising a mortgage accelerator. I am doing this without having any special payment plan. When I refinanced my mortgage, I just kept paying the additional amount that I had been paying. The amount I had been paying before I refinanced included a modest amount of additional principal. When I refinanced, I kept paying the previous payment amount and that added amount over the course of a year equals about an additional mortgage payment and a half.

If you go to bankrate.com there are calculators there that will help you figure out how you can accelerate your mortgage payment yourself. Just make sure that you do not have any prepayment penalties on your loan.

When I checked into the mortgage accelerator that my lender was offering, the information being touted was that I could pay off my mortgage 27 months faster. Then I did the math. The way I was doing it paying about an additional payment and a half a year would shave off 4 years off my mortgage if I continued to make the same payment.

The added benefit, aside from paying off my mortgage earlier is that I do not have to pay someone to set this up for me. You can set this up for yourself. If you want to make an additional payment over the course of a year, divide your current payment by 12 and then add that amount to what you currently pay. Let’s say your mortgage is $750 a month, if you add $62.50 to your payment each month, you will have made an additional payment each year. Keep doing this and you save money on interest because the additional $62.50 goes directly toward your principal.

When you get a raise, add a couple of dollars to your mortgage. You are increasing the equity in your home effortlessly.

Don’t think you can afford to pay an additional 12 percent or so to accelerate your mortgage yourself. Anything extra that you pay will go directly to the principal. Another way of doing this would be to round your payment up to the next twenty-five, hundred or fifty dollar amount. This may be less than an entire payment over the course of a year but it is something and every little bit helps.

Check your mortgage carefully to see if you have any stipulations about prepayment. Also, if you have credit card bills that have high interest rates, pay those off first before you try to add too much to the equity in your home.