Refinance to 15 year?

We just refinanced our home with a 30 year 2.99% rate. We owe
$227,000.00. Our payment is $1700, but I pay an extra $800 for a
total of & $2500. I was told the loan will be paid in 12 years. ( we
tried to get a 15 year loan, but were rejected). I just listened to your
noon broadcast on WGN & you mentioned to always try for 15 year refinance. Wish we could have. Keep up the good work on WGN and thank you. Mary Kay Weiler

Terry Says:  You did absolutely the RIGHT thing.  There’s no difference between paying it off early and getting a 15 year amortization.   Doing it this way gives you even more flexibility if your circumstances should change.  Just make sure that they are crediting the extra payment to principal.  Make sure you get that in writing from your mortgage servicing company.