Now that I have committed to saving the money as I receive as gifts and earmarking it for the house, I have to make it a reality.
I have opened another ING account and called it Mortgage Pay Off Fund. Appropriate I think. I opened it by taking $50 out of my emergency fund. Don’t worry, I had the cushion to do so.
All gift money – checks and cash – will be deposited into my non-primary checking account and then transfered into my ING account.
How often will I move the money back into my checking account to make an additional principle payment? I don’t know yet. I realize that I am making less interest in my savings account than I am paying on the interest rate on my house. Therefore, it makes more sense to do it more often than not. Every little bit helps, right? But as for actually frequency, I am not committing myself quite yet.