 TITLE: How to Lower Monthly Mortgage Payments CONTENT: Recast Your Mortgage\n--------------------\nIf you've been paying more than the required amount, or have savings that you could put toward your mortgage, you may be able to lower your monthly payments by recasting your mortgage.\nUnlike refinancing, recasting won't reset your loan term or change your loan's interest rate. Instead, recasting will reamortize your loan, which creates a new payment schedule based on the current principal balance.\nFor example, if you have a 30-year, $400,000 mortgage with a 3.65% APR, your monthly payment may be about $1,830. Ten years into the loan, your balance will be about $311,000.\nMaking an extra $11,000 payment won't lower your monthly mortgage payment, although it can lead to paying off the loan early. However, your lender may allow you to recast the loan based on the $300,000 principal balance. You'll keep the same term and interest rate, but your monthly payment drops to about $1,763, or $67 less a month.\nWhen it's an option—only some mortgages lenders offer recasting and it's not available on government-backed loans—there may be a fee of around $200 to $250 for recasting. END