![]() ![]() Choose an accelerated option for your mortgage paymentsĪn accelerated payment option lets you make weekly or biweekly payments. If you decide to keep your regular payments the same, you can pay off your mortgage faster.įind out more about the early renewal option. When your interest rate is lower, you have the option to reduce the amount of your regular payments. They do so because your old interest rate and the new term’s interest rate are blended. Lenders call this early renewal option the blend-and-extend option. Some mortgage lenders may allow you to extend the length of your mortgage before the end of your term. When you renew your mortgage, you may be able to get a lower interest rate. Keep your payments the same when changing your mortgage Make sure you understand the details about penalties.įind out ways to reduce prepayment penalties. If you put more money toward your mortgage than the maximum amount allows, you will pay a prepayment penalty. Use the Mortgage Calculator to explore your payment options. on certain dates set out in your contract.Check your mortgage contract for the specific amount. You may only be able to put a limited amount of money toward your mortgage. ![]() You can make a lump-sum payment on top of your regular mortgage payments. The term can range from a few months to 5 years or longer. ![]() The term is the time that your mortgage contract is in effect including your interest rate and other conditions. Normally, once you increase your payments, you can’t lower them until the end of the term. If you increase your payments by more than your prepayment privilege allows, you may have to pay a penalty. You may only be able to increase your payments by a certain amount each year. Increasing the amount of your payments, even by a small amount, helps you pay off your mortgage faster. Check your mortgage contract or contact your lender to find out about your prepayment options. Your lender calls this a prepayment or prepayment privilege.
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