See how extra monthly payments reduce your mortgage term and total interest paid. Compare your current payoff timeline against an accelerated one.
Input your remaining loan balance, current interest rate, and current monthly payment.
Enter any additional monthly amount you can pay toward principal. Even $100 extra can save years off your loan.
Compare your current payoff date against the accelerated one and see total interest saved. Download the full breakdown.
Even small extra payments save significant amounts. On a $300,000 30-year mortgage at 7%, an extra $200/month saves approximately $80,000 in interest and cuts 7 years off the loan. The earlier in the loan you start, the more you save.
Extra payments go directly to your principal balance. This reduces the balance that future interest is calculated on, creating a compounding benefit — every dollar of extra principal reduces all future interest charged against it.
Yes, one extra full payment per year (making 13 payments instead of 12) is equivalent to roughly $250/month extra on a $300K loan. It takes about 5 years off a 30-year mortgage. Both strategies are effective — use whichever fits your budget.
Instead of 12 monthly payments per year, bi-weekly payments mean 26 half-payments — equivalent to 13 full payments. This one extra payment per year can shave 4-6 years off a 30-year mortgage and save tens of thousands in interest.
Most lenders apply extra principal payments when received if clearly marked as principal-only. Always specify "apply to principal" on extra payments. Some lenders hold extra payments until the next due date — check your loan servicer policy.
Unlike refinancing, extra payments have no break-even point — they save money from day one. Every extra dollar reduces your balance and the interest calculated on it. The only consideration is whether the money could earn more invested elsewhere.
Yes. A one-time lump sum applied to principal can dramatically reduce your loan term. For example, $10,000 extra on a $300K 30-year loan at 7% early in the loan saves roughly $25,000 in interest and 18 months off the term.
The payoff date is the month and year your loan will be fully paid off given the payment amounts you enter. Making extra payments moves this date earlier. The calculator shows both your current payoff date and your accelerated payoff date side by side.
