Extra payment calculator
Extra Mortgage Payment Calculator
Use the extra-payment calculator to estimate how extra principal payments can reduce total interest and move up the payoff date.
Example Use
Example: adding $250 per month to a fixed-rate mortgage can save interest because the loan balance falls sooner, reducing future monthly interest charges.
What it estimates
The calculator compares the standard payoff schedule with a schedule that includes an extra monthly principal payment.
It estimates interest saved, new payoff time, and time saved. The result assumes the extra payment is applied to principal every month.
How to use the result
Use the result to compare mortgage acceleration against other uses for cash, such as emergency savings, retirement contributions, repairs, or higher-interest debt.
Confirm with your loan servicer how to apply extra payments to principal and whether any prepayment restrictions apply.
FAQs
Why do extra payments save interest?
They lower the balance that future interest is calculated on.
Should I pay extra before building savings?
Usually no. Keep enough cash for emergencies and repairs before locking money into home equity.
Can I use lump sums?
Yes, lump sums can reduce balance too, but this calculator focuses on monthly extra payments.
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