Mortgage Recast Calculator

I recently heard about something called a “mortgage recast calculator,” and I’m trying to understand how it works and if it could be beneficial for my situation. Has anyone used one before? How does it compare to refinancing, and what should I consider before using it? Any advice or personal experiences would be greatly appreciated!Thanks!

A mortgage recast calculator is a tool that helps you understand how making a lump sum payment on your mortgage would effect your loan.
You input details about your current mortgage, including the remaining balance, interest rate, loan term and the lump sum payment you plan to make. The calculator then shows how this lump sum will affect your mortgage.

Consider your financial goals, expenses and long-term ambitions. If you have extra finances and wish to preserve your present loan terms, recasting can be an option for you. If you want to cut your interest rate or change the term of your loan, refinancing may be a better option.