Loan Details
Your Savings with Biweekly Payments
| Year | Monthly Balance ($) | Biweekly Balance ($) | Extra Equity ($) |
|---|
Side-by-Side Comparison
How It Works
Monthly plan: 12 payments per year. Payment = P × r(1+r)n ÷ [(1+r)n − 1], where r = monthly rate (APR ÷ 12) and n = number of months.
Biweekly plan: you pay half the monthly amount every 14 days → 26 half-payments per year = 13 full payments instead of 12. The extra payment is applied directly to principal.
Result: the balance shrinks faster, so less interest accrues. This calculator simulates both plans period by period and shows exact interest totals and payoff times.
Tip: you don't need a paid biweekly program. Adding 1/12 of your monthly payment as extra principal each month achieves nearly the same savings. Confirm with your lender that extra payments are applied to principal, not escrow.
Frequently Asked Questions
How does a biweekly mortgage payment work?
Instead of 12 monthly payments, you pay half of your monthly payment every two weeks. There are 52 weeks in a year, so you make 26 half-payments โ the equivalent of 13 full monthly payments. That extra payment goes straight to principal and shortens your loan.
How much can I save with biweekly payments?
It depends on your rate, loan size, and term. On a typical 30-year loan at 6.5%, biweekly payments can save tens of thousands of dollars in interest and pay off the loan roughly 4โ6 years early. Enter your own numbers above for an exact answer.
Is a biweekly mortgage plan worth the fee?
Many lenders and third-party services charge setup or monthly fees for biweekly plans. You can get the same result for free by adding 1/12 of your monthly payment as extra principal each month. Compare any program fee against the savings this calculator shows.
Does paying biweekly always pay off the loan faster?
Yes โ as long as the extra half-payment is applied to principal rather than held and remitted monthly. Ask your lender to confirm payments are credited immediately to principal.