The mail is filled with offers from mortgage lenders encouraging you to make extra payments to pay off your loan early. Before you prepay a mortgage, take the following steps:

1. Pay down debts.
The interest rate on credit card balances is likely to be higher than a mortgage’s, and card interest payments aren’t deductible.

2. Feather your nest egg.
Set aside at least 10 to 15% of your income each year for retirement, including at least enough to receive your employer’s match on a 401 (k).

3. Study the field.
There are multiple ways to prepay a mortgage. One is to refinance and trade in your current loan for one with a shorter term.

4. Refuse to pay to prepay.
Don’t let your bank or any other lender sell you a biweekly payment plan where you pay extra for the privilege of prepaying.