The key to getting the greatest benefit from this strategy is to make the first payment on the loan the day it is activated. It means that the first payment must be made on the day the lender begins to charge interest on the money one is borrowing. If this is done, an unbelievable number of months will automatically deducted from the full term of the loan. In some cases, a thirty-year loan or mortgage can be shortened by more than four years.

All of that savings can be taken advantaged of by simply making one payment in advance. Keep in mind that the exact amount of savings fluctuates with the interest rate and term that apply to each mortgage.