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In a nutshell when you get a loan, your monthly payments primarily consist of principal and interest Wanna know a slick way to knock out your mortgage quicker and save a boatload on interest? As a general rule, making extra payments just toward the principal balance can help you pay off a loan faster and reduce the overall cost of the loan

Can you make principal only payments on your mortgage By carefully considering the benefits, drawbacks, and alternatives, you can make an informed decision about whether this strategy aligns with your financial goals. Find out how much you could save, and whether principal only payments are an option for you.

While less common on standard residential mortgages today, some loans might include fees for paying off a significant portion or the entire loan early, typically within the first few years.

This means you'll pay less interest on the lower principal balance and save money over the life of the contract.

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