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Extra Payment

Every extra dollar buys back a month.

A little more each month, or one payment now, and the loan ends years early. See how many years, and how much interest.

Describe the loan, then add something to it.

Set the loan you have, then add an amount to the payment or a one-time payment against the balance. It moves as you type.

What the extra buys you:

  • Your scheduled payment is $2,528.27 a month

  • With the extra you send $2,728.27 a month instead

  • The loan is gone 5 years, 7 months sooner

  • And you never pay $111,892 of the interest

Extra money only does this if your servicer puts it toward principal. Say so when you send it, and check your note for a prepayment penalty.

An estimate built from what you entered — not a quote or an approval.

Talk it through with someone

A starting assumption, not an offer. Your rate is priced to your file.

A single payment against the balance, made now rather than every month.

On top of the scheduled payment, every month, for as long as the loan runs.

Watch the balance fall on both loans.

The same loan twice — as it stands, and with your extra on it. The gap between the lines is what you bought back.

  • Without extra payments
  • With extra payments

Year 25 · Without extra payments $129,217 · With extra payments $0

Funded Yr 15 End of term

The two loans, side by side

Without extra payments

Paid off in
30 yrs
Interest paid
$510,178
Total paid
$910,178

With extra payments

Paid off in
24 yrs 5 mo
Interest paid
$398,286
Total paid
$798,286

Paying it down early is one strategy. There are others.

Recasting, refinancing, or keeping the cash — which fits depends on your rate and your other debts. A loan officer can talk it through.

Disclaimer

Information and interactive calculators are made available to you as self-help tools for your independent use and are not intended to provide investment advice. We cannot and do not guarantee their applicability or accuracy in regards to your individual circumstances. All examples are hypothetical and are for illustrative purposes. We encourage you to seek personalized advice from qualified professionals regarding all personal finance issues.