MARYVILLE, Tenn., Nov. 12, 2015 /PRNewswire/ -- With the current national trend of lower interest rates opening the door to homeownership for many, Vanderbilt Mortgage and Finance, Inc., a Berkshire Hathaway company, is offering tips on how to effectively manage your mortgage.
"We realize that understanding your monthly mortgage payment can be complicated, especially for first-time homebuyers," said Eric Hamilton, President of Vanderbilt Mortgage and Finance, Inc. "We believe that homeownership makes lives better and are here as a resource for potential homebuyers trying to figure out the process."
It's important to understand the mortgage payment structure and how to make the most out of a mortgage. To better manage a mortgage account, be sure to:
- Keep up-to-date on payments – Setting a recurring calendar reminder on a computer or smart phone can help ensure payments are made on time. Enrolling in payment auto draft can also help. Vanderbilt offers a payment auto draft service that is secure, easy and free. With this service, Vanderbilt will draft the mortgage payment from a designated checking or savings account when the payments are due -- no need to write a check or send a payment.
- Understand how payments are applied each month – The required monthly payment and due date can be found on the loan contract and on the monthly mortgage statements. When a payment is received it is applied according to the terms of the mortgage documents to the interest and principal that is due, any required escrow, and late charges, advances and service fees that are due if applicable.
- Pay off the mortgage earlier – By making extra payments toward principal the term of the loan can be shortened, saving on the amount of total interest paid. Small additional principal payments, even by rounding up to the nearest $10 on each monthly mortgage payment, can make a difference. An early payoff calculator can be used to estimate the optional additional principal payments that would be required each month to pay off the loan within a specified number of years. Mortgages originated by Vanderbilt do not contain a penalty for paying off the loan early. However, some lenders do charge a prepayment penalty so be sure to check your loan documents to determine if there is a prepayment penalty prior to making any additional payments toward principal.
If you have questions or want to learn more about obtaining a mortgage, please contact Vanderbilt's Customer Service department at 1-866-701-0467.
About Vanderbilt Mortgage and Finance, Inc.
Mortgage and Finance, Inc. is a national housing lender that specializes in financing manufactured homes. In business for more than 40 years, the company currently services more than 180,000 home loans and works hard to tailor loans to each family's needs. Vanderbilt has an A+ grade from the Better Business Bureau and is a Berkshire Hathaway company. For more information, visit VMFHomeLoan.com.
Vanderbilt Mortgage and Finance, Inc., 500 Alcoa Trail, Maryville, TN 37804, 865-380-3000, NMLS #1561, ( http://www.nmlsconsumeraccess.org/), AZ Lic. #BK-0902616, Loans made or arranged pursuant to a California Finance Lenders Law license, GA Residential Mortgage (Lic. #6911), Illinois Residential Mortgage Licensee, KS Licensed Mortgage Co. (SL.0000720), Licensed by the NH Banking Department, Mississippi Licensed Mortgage Company, MT Lic. #1561, Licensed by PA Dept. of Banking.
SOURCE Vanderbilt Mortgage and Finance, Inc.