A mortgage of $250,000 requires payments of $1,681.42 per month at 5.25% compounded quarterly. If the purchaser paid an extra $300 per month towards the mortgage, how much sooner would the mortgage be paid off? What amount of interest would the purchaser save?

Compounded Quarterly

Refers to the process of calculating and adding interest to the principal sum every quarter of a year.

Mortgage

A loan used to purchase a piece of property, where the property itself serves as collateral until the loan is repaid.

Interest

The charge for the privilege of borrowing money, typically expressed as an annual percentage rate.