No "principal only" option with Earnest?
Posted: Sun Sep 20, 2020 9:38 am
I recently refi' with Earnest and noticed they don't have a "principal only" payment option, because it says all payments get applied to accrued interest first and then the rest reduces the principal. Is that typical?
It seems like it would all come out in the wash anyway, because if I made an "extra payment" right before my monthly payment was due, some of my "extra payment" would be covering that month's interest, but then all of my monthly payment would basically go to principal. Is that right?
It seems like it would all come out in the wash anyway, because if I made an "extra payment" right before my monthly payment was due, some of my "extra payment" would be covering that month's interest, but then all of my monthly payment would basically go to principal. Is that right?