Day 79: Prepay Your Mortgage

Scripture to Memorize:
Give her the reward she has earned,
and let her works bring her praise at the city gate.
Proverbs 31:31
Passage to Read:
Suppose one of you want to build a tower. Will he not first sit down and estimate the cost to see if he has enough money to complete it? For if he lays the foundation and is not able to finish it, everyone who will see it will ridicule him, saying, "This fellow began to build and was not able to finish."
Prayer:
Dear Lord,
As you have helped me complete things in the past by giving me the wisdom to set down and determine what is needed help me to lay strong, sound financial plans for the foundation of my family's financial future. Help me to made wise decision by giving me the financial wisdom I need. Help me to lay a firm foundation based on sound financial principles so I will be able to finish as you want me too. So that I will be able all of my life to sing praise to you for your wise counsel. Holy Spirit, do not leave me open to the charge that I am unable to complete what I have begun to build. Lead me every step of the way. I know I can count on you. I want you to be able to count on me, too. Amen.
Personal:
In today's lesson Donna again takes a page from Dave Ramsey and tells to pay off our mortgages early. Her recommended method is to add an additional 10% to your monthly mortgage payment. First make sure that your mortgage company will apply that 10% against your principle and not your interest. Some monthly statements have a place for "Additional principle payment" put the 10% (the dollar amount) in this space and make that extra payment. Another suggestion is making biweekly payments. If your monthly payment is $800 pay $400 every two weeks. You will end up making the equivalent to 13 monthly payments rather than 12. You most likely will have to make special arrangements with your mortgage company to make your payments this way. I really agree with Donna and have made additional principle payments in the past but not as consistently as I would like to do. That is what I am working towards though is being able to pay off my truck and my house early. Then if I buy all future vehicles for cash I will basically reach retirement age with no regular bills except for utilities, groceries, etc. I may not be where I want to be but if I continue to apply the concepts that I learned through Financial Peace University I can assure my family's financial security. That way Bo and I can both enjoy our retirement.