Repayment calculator

The calculator shows monthly repayments. Most Australian lenders default to monthly, but you can usually switch to fortnightly — paying fortnightly squeezes one extra month of repayments into each year, which shaves roughly 3–4 years off a 30-year loan.

On an interest-only loan you only pay the interest each month for a fixed period (typically 1–5 years), then revert to principal & interest. Common for investors (interest is tax-deductible) and during construction. It's cheaper in the short term but you pay more over the life of the loan.

Three reasons usually: the lender's actual rate is higher than the one you entered, the rate is comparison-rate plus fees, or your loan has an offset/redraw package adding monthly account fees. Drop me a line and I'll reconcile your real statement.

An offset doesn't change the contracted repayment amount, but every dollar in the offset reduces the interest portion of that repayment — so a higher share of each payment goes to principal. Over a 30-year loan, $30k held in offset can shave 2+ years off the term.

A 30-year loan has a lower minimum repayment (better cashflow safety net). A 25-year loan saves significant interest but locks you into the higher payment. Most borrowers pick 30 and then make voluntary extra repayments — same financial outcome, more flexibility.

Total interest is the simple sum of (monthly repayment × number of months) − principal. It assumes the rate stays constant for the whole term, which is almost never true. Think of it as the worst case under the rate you entered, not a forecast.