Posted on: 16th Dec, 2012 11:47 pm
Hi there… I need help. I have two mortgage loans – the 1st one 3.25% for 30yrs and I have to pay 1800/month. The 2nd one is 6.25% for15yrs and I have to pay 900/month. What's the best way to pay it off? Should I tackle the 2nd one first by making $$$ more toward principal every month) or make extra payment toward principal on BOTH loans at same time?
If it is possible for you, then you should make extra payments toward both the loans and try to pay them off ASAP. This will make things easier for you and you will get rid of both the loans.
You can arrange bi weekley payments, make an extra payment a years, or make extra principal on top of your normal payment. Each option will knock down your principal and if you combine them all, you will have the loan paid off much quicker.
Try to make extra payments towards both your loans and pay them off as soon as you can.