FNB Head of Special Projects, Dr Simphiwe Madikizela, says paying R100 or more on your bond repayment goes a long way in reducing your interest.
He says the substantial amount of debt owed on a bond can often startle consumers, making them believe it is pointless to pay anything extra as it will take them years to pay it off.
This can cut the period in which you are paying your bond by a number of years and save about R50 000 interest over the period of the bond.— Dr Simphiwe Madikizela, FNB Head of Special Projects
It is very important because it makes a huge difference.— Dr Simphiwe Madikizela, FNB Head of Special Projects
We encourage people to create wealth and pay off their debts as quickly as they can and if possible buy a second property and rent out the first one to generate extra income.— Dr Simphiwe Madikizela, FNB Head of Special Projects
To hear more of this interview, listen below:
This article first appeared on 702 : Just R100 extra on your bond could save you money on interest