Extra Payment Calculator

Calculate how additional principal payments can dramatically reduce your mortgage interest and accelerate your payoff timeline. See the impact of one-time or recurring extra payments.

Loan & Extra Payment Details

Current Loan Information

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Extra Payment Options

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Payment Comparison

Enter loan details and extra payment amount to see your savings

Understanding Extra Mortgage Payments

How Extra Payments Work

  • Direct to principal: Extra payments go directly toward reducing your loan balance
  • Compound effect: Lower balance means less interest charged each month
  • Accelerated payoff: Shorter loan term means years of savings
  • Flexibility: Choose monthly, yearly, or one-time payments

Strategic Tips

✓ Best Practices

  • • Start early in the loan term for maximum impact
  • • Even small extra payments ($50-100) make a difference
  • • Use windfalls (tax refunds, bonuses) for one-time payments
  • • Set up automatic extra payments for consistency

⚠ Considerations

  • • Ensure you have emergency fund first
  • • Consider high-interest debt before extra mortgage payments
  • • Verify lender allows extra payments without penalty
  • • Balance with other investment opportunities