Offer your insights or judgment on the input financial query or topic using your financial expertise. Reply as normal question answering

What's the catch with biweekly mortgage payments?
So the principle is true.  Assuming that you get paid bi-weekly, you end up getting three paychecks two months during the year.  Typically that is in January and July/August.  So if things were different, and your mortgage was setup so you paid half a monthly payment each paycheck, then you would wind up making one full extra payment per year.  Making that extra payment, most often, reduces the mortgage by 7 years on a 30 year note.   While true, many of these companies charge exorbitant fees for the right for you to do so, so the principal reduction is not commensurate with what you are paying.   You can simply do this yourself without paying fees.  On those extra pay days, pay half a payment to principal only, and no fee, no fuss.  This is pretty easy to do with most mortgage companies as they have online payments and it is just a matter of filling out a web form.  For me this does not even cost a stamp as they pull from my checking account at another bank.