Question:

What do biweekly mortgage companies do?

Answer:

Biweekly mortgage companies are responsible for debiting your bank account with half your monthly mortgage payment into a separate account and when your mortgage payment is due, it will be transferred from the account of the biweekly mortgage company to the lender.

Biweekly mortgage companies will charge you a fee for a service you could do on your own, but if you are not disciplined enough, this is the only way one additional monthly payment will be available to make against the principal at the end of the year.

However, your biweekly payments may be sent in late and this is the risk you run with your lender as you are responsible to make mortgage payments on time, and not the mortgage company.

Costs biweekly mortgage companies will charge for the service include the account setup and maintenance fee plus commission to the officer who brought you in. At the same time, there is interest on the trust account your money goes to and the biweekly mortgage company is earning it.

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Common misspellings: mortage and morgage