Pay a little extra. Shave years off.
On $600,000 over 30 years at 6%, an extra $50 a week pays the loan off 4 years 2 months sooner and saves $113,947 in interest. Move the slider to see the same for your loan, with the fortnightly shortcut included.
About 2 years 3 months sooner and $62,789 less interest.
The figures above are an example. Saving this to an account is offered once the loan amount and interest rate are your own.
Common questions
How much does paying $50 a week extra on a mortgage save?
On a $600,000 home loan over 30 years at 6%, an extra $50 a week pays the loan off 4 years 2 months sooner and saves $113,947 in interest.
Does paying fortnightly instead of monthly save money?
Paying half the monthly repayment every fortnight means 26 half repayments, or 13 monthly repayments, a year instead of 12. On a $600,000 home loan over 30 years at 6%, that pays the loan off 5 years 5 months sooner and saves $147,331 in interest. It also means about one extra monthly repayment of cash out each year, so budget for it.
What does a lump sum do to a mortgage?
A lump sum goes straight to the balance, so it stops costing interest. On a $600,000 home loan over 30 years at 6%, a $10,000 lump sum at the start saves $47,981 in interest and takes 1 year 4 months off the loan.
Can I make extra repayments on a fixed rate loan?
Often only up to a limit. Many lenders cap extra repayments during a fixed rate period, so check your loan terms before you start.