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Investing Excess Money Circulate on the 30: Most borrowers electing a 30-yr term do it because they can't afford the monthly payment on a shorter time period. Some elect the 30-yr term, nonetheless, as a result of they plan to speculate the distinction in cost. There is nothing mistaken with this, provided they understand how a lot they must earn on different investments to make it a paying technique. The yield on different investments must exceed the yield on investment within the shorter time period, which is mostly high.