Personal finance blogger J.D. Roth is pre-paying down the principal on his mortgage to speed up the amount of time it will take him to own his home outright.
We decided to use the method described by Charles Givens in his 1988 best-seller Wealth Without Risk: "You can pay off your 30-year mortgage in half the time without refinancing by making extra principal payments. On the first of the month when you write your regular mortgage check, write a second check for the 'principal only' portion of the next month's payment."
Roth admits that money may be put to better use investing instead of pre-paying a low-interest loan, but he says the psychological advantage is what he's after. (He's investing as well.) Do you like to take a bite out of your mortgage's principal when you've got some extra cash? Let us know in the comments.