Does this encourage frivolous spending behind the mask of accelerating your mortgage amortization flow? Having you house on the line for your grocery purchases, could be reckless. Would you spend more money than you normally would?....what if you lost your job? On the surface having your paycheck put into your mortgage upfront and then taking it out slowly might seem like more freedom with a better benefit...but again would this encourage you to increase your secured debt portfolio? and make it far too easy to overspend? There is a 5% cap to the start-rate (libor) so you could reach 12%....You need a 680 credit score and loan to value is 80% They have some simulators below.... Michael B. http://www.cmgfs.com/partner/ P.S. From what I can figure out there is a monthly recast as this is not an interest only loan, but is a 30Y fully amortized...some of you mortgage professionals might need to correct me. P.S.S. And what about those months that you spend more than you direct deposit? Would this deceleration effect negate the acceleration effect?