Baggywrinkle

There is one system I have found which originated in Australia & The UK which does work **IF** you are disciplined. As stated above you eliminate your mortgage by paying the principal off. This program will
work provided you earn more than you spend, even if it is only a small amount. I have opened a Home Equity
Line of Credit. This is not unusual. What is unusual is I deposit my entire paycheck into the HELOC which
keeps the average daily balance low resulting in less interest paid out. Spending less than I make allows
the HELOC to approach a zero balance. When it gets close to sero the sum of your gross monthly salary plus five
thousand dollars is borrowed and paid directly to the principle of your primary mortgage. How is this different
from a biweekly system or an extra payment? If you have an urgent need for money, the car blows up or you owe
the IRS a balance, the HELOC is there to buffer the cost. The is known as an MMA or money merge account.
I used to keep 5,000 dollars in a savings or checking account for those rainy day emergencies. This is called
lazy money. Now it sits in the HELOC keeping the average daily balance down while it is waiting to be spent.
Want to cut yourself an interest free loan? My credit cards and HELOC are with the same company. Transfers for
payment occur the same day. I purchase EVERYTHING on the credit card which has a twenty five day grace period.
The money for payment lies in the HELOC keeping the average daily balance lower and saving me money until the due
date, then the credit card is paid off in full each month. Using this system I can look forward to paying thirty
thousand dollars a year on the principle of my primary mortgage without pain. That translates into being free and
clear in 5-7 years depending on how disciplined we are vs twenty seven years playing the old game. Interest savings will be seventy thousand dollars