Why haven't I heard about bi-weekly plans? Are They New? Actually, bi-weekly payment plans have been around for over 20 years, but they've been a fairly well kept secret. Mortgage lenders are not likely to promote products that cost them interest earnings. If YOU were your lender, would YOU show your customers a way to save over 25% of the interest they would normally pay you? It's simply not in their best business interests. At NBA, we are committed to looking out for your best interests because we work for you and not your lender.

How will my loan change if I sign up for the Interest Minimizer? Your loan will not change at all. Your lender, interest rate, escrow, etc. all remain the same. The only thing that changes is the way you budget your payment, from monthly to: 1/4 weekly, 1/2 bi-weekly, or semi-monthly.

What if I get paid weekly, every 2 weeks, or twice a month. Do you have a plan for me? Yes. Here are the payment cycles available to you.


Weekly: 1/4 of your monthly payment would be withdrawn from your account each week for a total of 52 withdrawals per year. This results in one additional monthly payment being applied directly to your principal each year, saving you 7-8 years off your current 30 year mortgage.

Bi-Weekly: 1/2 of your monthly payment would be withdrawn from your account every other week for a total of 26 withdrawals per year. This results in one additional monthly payment being applied directly to your principal each year, saving you 7-8 years off your current 30 year mortgage.

Semi-Monthly: We take your monthly payment and divide it in half. Then, we spread the 13th extra payment over the 24 half payments by adding 1/24th of a monthly payment to your half payment. This amount is withdrawn from your account on the 5th and 20th of every month. This results in one additional monthly payment being applied directly to your principal each year, saving you 7-8 years off your current 30 year mortgage.


Is this OK with my lender? We can not speak for your lender. Many lenders see the benefits of a bi-weekly program, but there are others who may feel otherwise. Keep in mind that the Interest Minimizer program is a great savings benefit to you, not to your lender. To the lender, it is a great loss of revenue.
 

How are my payments guaranteed? Nationwide Biweekly Administration's principal focus is safeguarding your mortgage payments. All funds are handled by a fully Licensed Federally Regulated Commercial Bank. Your funds are withdrawn from your account and received by your mortgage institution; all the while your bank remains responsible under Regulation E of the Federal Reserve for your money. Under the Regulation E policy, funds debited from your account are protected against fraud or loss for a period of sixty (60) days from the drafting date. If there ever were a loss, your local bank would require our bank as the originating bank to return all of your monies to your account. This represents your ultimate and complete protection! Under the Interest Minimizer program, mortgage payments are administered to more than 2100 different mortgage companies, banks, and credit unions nationwide. Billions of dollars worth of mortgage payments are handled for our customers on the Interest Minimizer program.

Can I add extra amounts to my payments? Yes, you can add any additional amount to your payment. This will result in you paying off your loan even faster. You can raise or lower the amount at any time. We need 5 business days to implement any changes to your payment.

What if I sell my home or refinance? Once you enroll into the Interest Minimizer, we handle all changes for you. Simply call Customer Service at 800.564.5693 or email us at customerservice@nbabiweekly.com and provide us with your new loan information. We only need 5 business days to make your changes effective.

Is there a penalty if I stop the program? No, you can stop the Interest Minimizer at any time with no penalty. You can also restart the Program at any time with no penalty.

What if my payment is late? If a late charge is incurred in the payment of your loan and it is NBA's fault, NBA will pay the late charge for you and write a letter of explanation to your lender.

Can I do this myself? Yes. But, when you enroll in the Interest Minimizer, you are able to simplify your budgeting by scheduling your mortgage payments around the way you get paid. Instead of paying a large $1,000 monthly payment, you could pay $250 weekly or $500 bi-weekly. Besides, on those months when it is difficult to stay disciplined and consistent with your budget, we do it for you. It's much easier, automatic, and you'll save thousands of dollars in interest payments.

What if I just pay an extra amount toward my principal each month?

We will do an annual audit of your mortgage payments at your request. According to the Washington Post, over 47% of all mortgages are currently being miscalculated. A consumer loan advocacy group recently audited around 9,000 home loans across the US and found that nearly 50% of them contained errors. The average refund owed to the homeowner was $1,588. You can use our audit as written proof when you compare it to your annual statement received from your mortgage company.

Does Nationwide Biweekly Administration handle my money? No, we do not. The transfer of all funds and payment of all mortgage payments are handled by a Federally Regulated Commercial Bank that is licensed under State and Federal Regulations.