Took paycut, should I take out personal loan to pay off mortgage?

[Joe Jude]

Ok I'll make this short as possible... I owe 30k on my house. I have 20k cash for a pay off in addition to 10k in savings. I'm thinking of doing a 10k personal loan and using the 20k pay off fund to pay the mortgage off now. Keeping 10k for an emergency fund. I ran the numbers:

Interest wise the higher rate personal loan will cost me $600 in interest more. But my payment will be 400 a month vs 1000 a month. The 20k has been built up to pay the mortgage off early. It was never meant to invest in 401 etc. Upon payoff I will be able to annually max my 401 19,500 a year because I wont be paying as much on the mortgage.

I made extra payments from the day I bought the house. So it will be paid off 22 years early if I do this.

Thoughts?

[Joe Jude]

So I completely forgot about this post, I took the personal loan and paid it off about a year early. Personal loan was paid off in about 6 months, was totally worth it for the mental aspect. The personal loan payment was very minimal compared to the mortgage and the lump sum payment killed it quickly. I will add  that in case of an emergency I had plenty of money in my 401k which my employer makes it easy to borrow from.