This year the average American will spend $126.03 on Valentine’s Day. That equals $252.06 per couple. I don’t know about you, but I can think of better ways to spend my money all while making Valentine’s Day special for my spouse.
Here are my steps for using Valentine’s Day to save money and pay off your mortgage sooner:
Step 1: Gather a pen and paper. Sit down and write your spouse a love letter. Below are a few online guides I found. Two of them include sample love letters in case you get stuck.
Step 2: Exchange love letters with your spouse and reread letters from the previous year. This is the only gift I request every year from my spouse, and my letter collection is truly the thing I treasure most in the world. Each letter recounts new experiences we’ve shared and moments we’ve treasured. No box of chocolates or dozen roses could ever compare to this gift. And, it’s free!
Step 3: Cut a check for $252.06 to your mortgage servicer.
Step 4: Enjoy this tradition year after year and reap the rewards.
Based on a loan amount of $200,000 with an interest rate of 3.625%, if you make an annual extra payment each February of $252.06 starting the first year of your repayment schedule, you will pay off your mortgage 14 months sooner and save $6,021.41 in interest charges in the process. Since financial stress is also a leading cause of divorce, this frugal plan for Valentine’s Day can help your relationship in more ways than one.
Remember, if you have other debts that are charging you higher interest rates, you will save a lot more money if you pay off all of your higher interest debt first, and then redirect all of your previous high-interest debt payments to paying off your mortgage.