What is a mortgage? How do they work? My personal experience with Mortgages? Own Bank Vs. Broker. The mortgage application. Credit score can determine the interest rate. Different types of Mortgages i.e. Fixed rate, Variable rate (Baloon in USA) and interest only. Fixed rate for short period and then remortgage. 15 year, 25 year, 30 year or 40 year term, what is best. Home ownership Vs renting. Overpayments without penalty bi weekly or monthly overpayment strategies to shorten mortgage and pay less interest. Benefits of an emergency saving and avoiding foreclosure. The sooner you pay off the mortgage the better, it can equal allot of freedom. Your biggest monthly expense is no more.