See how extra repayments can save you thousands in interest and years off your loan
Updated October 2026Built and checked by MaverickHow it's calculatedReport an error
Interest saved
$162,503
Time saved
6.5 years
78 months total
New loan term
18y 6m
vs 25 years
Effective return
7.9%
Tax-free equivalent
Top curve: standard schedule. Bottom curve: your accelerated schedule.
Original schedule
With your extra repayments
The gap is your saving. Even small, regular extras add up over 25 to 30 years.
Fixed monthly extras at common levels: pick the one that fits your cash flow.
Paying a bit more than the minimum is one of the simplest ways to cut what a home loan costs, because every extra dollar comes straight off the balance that's charged interest. Put in your loan and an extra amount to see the interest and the time it saves.
As of 7 November 2026, the lowest variable home loan rate is 5.93%, from SCCU's BROKER HOME LOAN, while the typical best across 104 institutions is 6.38%. The lowest 3-year fixed home loan rate is 6.24%, from Credit Union SA's 3-Year Fixed 40 Year Home Loan Package, while the typical best across 80 institutions is 6.69%. The RBA cash rate is 4.85%. Those are for an owner-occupier paying principal and interest at an 80% LVR.
Mei has a $450,000 loan at 6.2% over 28 years remaining. She puts $200 extra per month.
Interest saved: $90,100. Loan paid off 4.3 years earlier. Over that time Mei pays $56,800 in extra repayments, which saves $90,100 of interest.
Stuart puts his $5,000 annual bonus directly onto his $600,000 mortgage at 6.5%.
Interest saved: $140,300 over the life of the loan, and it's paid off 4.9 years earlier. The bonuses he puts in total about $100,400, so each dollar saves about $1.40 of interest.