At ‘Peasy’ we like to find new ways to help our clients that goes above and beyond the average mortgage broker, so we have recently put together a workbook that allows our clients to calculate the interest they could save if they make a ‘small consistent change to their repayments’
Firstly, let us show you a great example;
John has a mortgage of $500,000 at an interest rate of 5% over a 30 year term.
John decides to…
- Go to dinner once a week instead of twice and saves $40 per week
- Get one coffee a day instead of two and saves $17.50 per week
- Take an uber home on Friday night instead of a taxi and saves $10 per week
- Make his lunch at home two days a week and saves $20 per week
- Take 2 cigarettes to work and leaves the pack at home, the same pack lasts 2 weeks saving him $20 per week
How do these small changes effect Johns future?
- John’s total saving over a week is $107.50 which is $5,590 a year!
- If John put this into his mortgage he would save $145,914.90 interest!!
- And would pay his loan off in 21 years and 8 months instead of 30 years!!!
John could also potentially be a lot healthier, live longer, retire earlier and realise it wasn’t actually as hard as he initially thought!
Small but consistent changes all add up so if you know of anyone who might like to hear about ways they can save interest or reduce their home loan, then please ask them to get in touch! At ‘Peasy’ we are not only passionate about finding the right loan for our clients but we are continually striving to find new ways to add value to our service!