<p>alas. </p>
<p>just talk to your lender directly and ask the questions.</p>
<p>Lending institutions offer schedule and simple mortgages. You just need to be able recognize them. Simple mortgages are generally call “lines of credit,” They are generally held by the bank. Scheduled mortgages are fannie mae/freddie mac type of mortgages and general resold in the secondary market.</p>
<p>The for lurkers to this thread… believe what you want. But you can see that there is a very heated debate. I have told you and given resources to prove to yourself to discover the true correct answer. I only suggest that you recognize that the loans that are on the market are calculated differently. Be sure that you understand how they are calculated so that you will not be in the position of the lawyer in post #1 article. The best way to directly answer your own situation is, Just talk to your lender, not your broker who is just the middleman.</p>
<p>be aware that rule of 78 is not legal in many states. Don’t know why since payday loans have much higher APRs. </p>
<p>The cheapest loan is your credit card,
if you pay it off rapidly.
Simple interest loans are next cheapest if you habitually pay early and often, but get very expensive if you miss days or payments. FEEL type (PLUS, Staffords, Consolidate loans are simple interest.
Scheduled loans are scheduled once at closing, That is why is called schduled. It is best for those who need discipline and do not make extra additions to the loan. A your average home loan, car loan, private lender student loan are scheduled loans
Refinancing is more expensive than you think because you lose all the previous interest payments that were previously made. </p>
<p>Read very carefully what the our loan regulators have to say about loans.
<a href=“http://www.phil.frb.org/consumers/establish.html[/url]”>http://www.phil.frb.org/consumers/establish.html</a></p>
<p>Open up to other possibilties. When you recognize the difference you will understand. Let me know when you see the light.
BTW this is a MS level introduction to finance. IT gets more complicated when you get into “strips”</p>