Calculator
Repayment calculator
Enter the loan amount, rate and term. You will see the repayment at your chosen frequency, plus how much of the total goes to interest rather than paying down the loan.
Your repayment
$3,666
per month
- Total interest over the term
- $669,831
- Total you repay
- $1,319,831
- Number of repayments
- 360
An estimate only. It assumes the rate never changes for the whole term and excludes fees, insurance and government charges — so a real loan will cost more. Compare rates to see how a lower rate moves this number.
How this is calculated
Repayments use the standard amortisation formula. The monthly rate is the annual rate divided by twelve, and the repayment is the fixed amount that pays the loan to zero over the number of months in the term.
Fortnightly and weekly figures are derived from the monthly repayment rather than recompounded, which is how Australian lenders present them. That means the fortnightly figure is not simply the monthly divided by two — over a year it adds up to slightly more than twelve monthly payments, which is where the extra principal reduction comes from.
What is left out
The result excludes ongoing account fees, upfront application and valuation fees, Lenders Mortgage Insurance, building insurance, council rates and government charges. It also assumes the interest rate holds for the entire term, which no variable rate does.
Treat the output as a like-for-like comparison tool between loans rather than a prediction of your bank statement. To see the effect of a lower rate on the same loan, compare rates and put a couple of them through this calculator.
FAQ
Repayment questions
Why does paying fortnightly save me money?
Because a fortnightly repayment is usually set at half the monthly figure, and there are 26 fortnights in a year — the equivalent of 13 monthly payments instead of 12. That extra payment goes to principal and can cut years off a 30-year loan. Check your lender calculates it this way rather than dividing the annual figure by 26.
Why is the total interest so much larger than I expected?
On a 30-year loan at typical rates, total interest often approaches or exceeds the amount borrowed. Early repayments are almost entirely interest; principal only starts falling meaningfully after several years. This is why extra repayments in the first decade are so effective.
What does interest only actually do?
You pay only the interest, so the balance never falls. Repayments are lower during the interest-only period but you owe the same amount at the end, and repayments jump sharply afterwards because the principal must be repaid over a shorter remaining term. It is a cash-flow tool, mostly used by investors.
Should I choose a shorter loan term?
A shorter term means higher repayments and dramatically less total interest. Try 30 years and then 25 in the calculator — the total interest difference is usually large. The catch is that the higher repayment is contractual. Many borrowers take 30 years and make voluntary extra repayments instead, which gives the same effect with room to stop if things get tight.