Calculate how much time and interest extra loan payments save you.
Every payment on an amortizing loan splits into two parts: interest on what you currently owe, and principal that reduces the balance. Early on, most of each payment goes to interest. Adding even a small amount on top of your regular payment goes entirely to principal, which shrinks the balance faster and reduces the interest charged in every month that follows. The result is a loan that's paid off sooner and costs less overall — the sliders above show exactly how much sooner and how much less for your own numbers.
Interest is charged on your remaining balance each month, so any extra amount you pay goes straight toward principal instead. That lowers the balance interest is calculated on for every month afterward, which is why a modest extra payment compounds into large interest savings over the life of a loan.
An extra monthly payment is added on top of your regular payment every month for the life of the loan. A one-time payment — like a tax refund or bonus — is applied a single time to reduce your balance immediately, then your regular payment schedule continues as normal.
No. This tool models principal and interest only, the same way an amortization schedule does. If your regular payment includes escrow for taxes or insurance, use just the principal-and-interest portion as your monthly payment.
No. Every calculation runs in your browser — nothing is transmitted to a server or stored in a database. The only exception is the optional "Copy shareable link" button, which encodes your inputs into the URL itself so you can share or bookmark a scenario.