How extra payments crush your mortgage
On a 30-year mortgage, most of your early payments go to interest, not principal. Adding even a small amount to each payment goes straight to principal — which shrinks the balance every future month's interest is calculated on. The effect compounds, so a modest extra payment can cut years off your loan and save tens of thousands in interest.
Enter your current balance, rate, remaining term, and an extra monthly amount to see exactly how much time and interest you'd save.
A typical example
On a $300,000 balance at 6.5% over 30 years, adding just $200 a month pays the loan off roughly 5 years early and saves well over $80,000 in interest. Adjust the numbers above to match your loan.
Smart ways to pay down faster
- Round up your payment to the next hundred — small and painless, but it adds up.
- Make one extra payment a year (or pay biweekly) to knock out an entire month of principal annually.
- Apply windfalls — tax refunds or bonuses — directly to principal.
- Tell your servicer the extra goes to principal, not next month's payment.