The Finance Algorithm
§ Tool · tier 1 · independent

Extra Repayment Calculator.

See how extra repayments can save you thousands in interest and years off your loan

CalculatorFree, no signupOn-deviceupd May 2026
Inputs
Your numbers
$
$500k

Your current loan balance

%
6.49%

Defaults to the current average variable rate

25y
$
$500

How much extra you can put in per period

Math updates live as you change inputs · AI runs on submit

Awaiting inputs

Move the sliders or type in the form on the left — the math updates live as you go. Click Get AI verdict when you want a written analysis.

Making extra repayments is one of the most powerful ways to save money on your home loan. Even small additional payments can save you tens of thousands in interest and take years off your loan. Use our calculator to see exactly how much you could save.

§ Worked examples

Real-world scenarios

Young Professional Building Wealth

Mei has a $450,000 loan at 6.2% over 28 years remaining. She puts $200 extra per month.

Inputs

loanAmount:450,000interestRate:6.2loanTerm:28extraRepayment:200extraFrequency:Monthly

Interest saved: $82,000. Loan paid off 5.5 years earlier. The $200/month effort results in wealth creation of $82,000 that would otherwise go to the bank.

Using Annual Bonus

Stuart puts his $5,000 annual bonus directly onto his $600,000 mortgage at 6.5%.

Inputs

loanAmount:600,000interestRate:6.5loanTerm:25extraRepayment:5,000extraFrequency:Yearly

Interest saved: $71,000 over the life of the loan. Each yearly $5,000 payment has a multiplier effect, saving roughly 14x its value in interest.

§ FAQ

Questions Australians ask

§ Glossary

Plain-English definitions

Redraw Facility
Allows you to access extra repayments you've made. Unlike offset, the money must be formally 'redrawn' and some lenders charge fees.
Break Costs
Penalties charged for exceeding extra repayment limits on fixed rate loans. Can be thousands of dollars.
Principal
Your original loan amount. Extra repayments reduce principal directly, meaning less interest is charged on the remaining balance.
Amortization
The process of paying off a loan through regular payments. Extra payments accelerate this process.