For some people, keeping track of their home loan may end at the acceptance of their online application. These people pay their mortgage every month, without a thought as to how much they still have remaining on the loan or even checking for any other additional charges, that may be added into the mortgage. It is important to keep track of this information not only so that you know where you are financially, but also for your own piece of mind. It is a responsibility as a home owner to make sure that they always know what they owe.
Ignorance Leads to Consequences
Foreclosure is something that every homeowner truly dreads. When people fall into debt, it is usually the home that they are able to keep floating the longest. If you fail to keep track of your mortgage payments, you may have an unrealistic idea of how to finally get out from under the mortgage. Simply making your payments and assuming all is well may work for you as long as there are no bumps in the road, but what if you decide you want to refinance your home? Interest rates fluctuate constantly and in order to jump on a great refinance deal, you will need to know how much you owe on your current loan. Misstating information or providing incorrect information can kill a refinance deal immediately and the process is enough of a headache that you will want to avoid this if possible.
Give Your Lender a Call
If you haven’t been keeping track of your payments until now, it’s not too late to start! Your lender will have a detailed record of your payment history. However, in the case where you believe you have paid more than the records reflect, you will have no choice, but to take their word for it. If you haven’t been keeping track of your mortgage since you began paying and there is some discrepancy, it will be your word against the lender’s and this does not usually sway in the borrower’s favor.
Staying informed of your mortgage isn’t just smart, it is your responsibility as a home owner. Considering the loan amount, it is one of the most important decisions you can make. By failing to do so, you could be losing much more than the 2 minutes it would have taken to simply make a record of the payment.