Do I make my mortgage payment with current bank before my refinance closes with new bank?
Jill P asked:
My mortgage payment is due the first of each month (today) but I have a grace period until 6/15/09 where I do not get charged a late fee.
My mortgage payment is due the first of each month (today) but I have a grace period until 6/15/09 where I do not get charged a late fee.
My refinance (with a different bank) is scheduled to close before the end of next week. I feel like I might save money if i don’t make the complete mortgage payment that was technically due 6/1/09 because wouldnt that be a payment of interest acrued for the entire month instead of paying per diem on the closing for the interest.
I’m very confused about this whole process and any help would be appreciated!
ok… better safe than sorry. i scheduled the e-payment just now. thanks for the help!
HECTOR
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3 Responses to “Do I make my mortgage payment with current bank before my refinance closes with new bank?”
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MORTON
You will not save any money at all. Make the payment on 6/1/09.
make sure whomever is doing your closing obtains payoff balance after yoiur 6/1/09 payment is posted.
ARON
It doesn’t really matter if you do. You will be reimbursed that amount anyway. We just recently refinanced and asked the same question and were told we could just wait. The other mortgage company will be paid off by the company that you are refinancing with.
Understand I am not suggesting you don’t pay I am stating that you will be reimbursed the money if you do pay and there was not a need to.
BRYON
I always tell my clients not to miss a payment. It makes no difference- if you don’t pay it gets added to your payoff & if you do it gets subtracted. Better to continue to have a clean pay history- why pay a late fee if for some reason closing is put off beyond the 15th.