My mortgage rate is many times higher than the interest rate on any of my savings accounts. I can try to get better accounts like an Money Market or a Certificate but I'd have to drop like 100k, which I don't have, just to get a rate comparable to my mortgage.

My mortgage is young so its currently over twice higher than my other assets. $1k in a certificate gets me $50 in a year. $1k lump to my mortgage saves me $2k in future payments. $1k extra annually saves me $15k. If I kept reinvesting that certificate I'd earn about $4K over the same timespan.

As I see it, I should be dumping much money into my mortgage as I can afford right now. Maybe when the account gets smaller than my other assets that'll change. But for now the only thing stopping me is having some actual liquid savings.

  • bubbalu [they/them]
    ·
    3 months ago

    How is your 401k so low? The one my work automatically puts it into is like 15% this year?

    • ZWQbpkzl [none/use name]
      ·
      3 months ago

      Maybe I'm reading the stats wrong. There's no equivalent fixed APY because its tied to stonks-up . it says %10 somewhere bit I read that as total overall not year total.