Posted on: 09th Dec, 2009 08:06 am
Do I need to pay any interest to my current lender if for example if I close 28th of the month?
Hi MortgageJK!
Welcome to forums!
It's a good idea to close the mortgage at the end of the month. In that case, you will start paying the interest after the new month begins. Contrary to this, if you close your loan in the middle of the month, then you may have to give the 15 days of interest at the closing.
Sussane
Welcome to forums!
It's a good idea to close the mortgage at the end of the month. In that case, you will start paying the interest after the new month begins. Contrary to this, if you close your loan in the middle of the month, then you may have to give the 15 days of interest at the closing.
Sussane
if you close on the 28th you will pay interest for that day, the 29th, 30th, and 31st if it exists. your first monthly installment of principal and interest would be due on the first day of the month - not immediately but after the immediate next month. so december 28 closing means first payment due on february 1. that february payment would include all the interest that the lender earned during the month of january.
