Mortage Loans
learn about mortage loans
-
Does it make a difference when a mortage is paid at the end or beginning of the month?
Posted on December 18th, 2010 3 comments
Cathie asked:
The prob I’m working with this a $500,000 mortage, 6% annual rate that is paid at the END of each month. If I remember right from finance class there is a difference then the standard paying it at the beginning but I can’t find any mortgage calculators that let me choose the payment date.
Alfred3 responses to “Does it make a difference when a mortage is paid at the end or beginning of the month?”
-
It makes about $15 per month difference. You can use the PMT function in Excel.
-
It depends upon the terms of your mortgage. You should discuss this with yor loan officer.
-
golferwhoworks December 24th, 2010 at 15:51
as long as you are not late you can pay on the first or sooner but unless you are making extra payments to the principal very little difference in accrued interest
-
MadMan December 19th, 2010 at 11:52