How advantageous are extra payments?
How advantageous are extra payments?
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Extra payments reduce interest

The main advantage of making extra payments is that by reducing your principal loan balance, you are also reducing the amount of interest you pay over time.

  • Making extra payments on a regular basis can help substantially reduce the total cost of your loan.
  • Note, some lenders may impose an "early payment" penalty, so check with your lender before choosing a loan if you are interested in making extra payments.
 

When using the calculators, please keep in mind that the results of any loan calculator computations are not intended to be and should not be considered a decision of, or a commitment to, the loan type or amount for which you may qualify

Note: Please review your options with your loan officer to confirm the validity of these projections. To learn more about the mortgage process or for information regarding rates, preapproval or how to start the application process, contact us at 1-800-873-6577.

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Rates shown not available in all states. Rates are representative and rounded to nearest point. Actual rates may vary.
View: Assumptions & Monthly Payments.


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  • Our custom rate tool provides you with a reasonable estimate of which interest rate or rates may be available to you based on where you live, the type of home you are buying and your personal credit score.