How Much Will You Save Paying an Extra $150 a Month?

Last Updated: June 17, 2026

See exactly how much time and interest you can save by accelerating your principal payments.

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Current Loan Status

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Accelerated Strategy

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Amount added to your normal payment every month.
$
Amount paid once a year (e.g. from a tax refund or bonus).

Your Savings Trajectory

Total Interest Saved

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Time Saved: 0 Years

Standard Payoff

$0

Date

Accelerated Payoff

$0

Date

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Frequently Asked Questions (FAQ)

How do extra payments save me money?

When you make an extra payment, 100% of those funds are applied directly to your principal loan balance. By reducing the principal faster, you stop interest from compounding on that money, which can shave years off your loan term.

Should I pay off my mortgage early or invest the extra cash?

This depends on your interest rate. If your mortgage rate is very low (e.g., 3%), you might earn a higher return by investing in the stock market. If your rate is high (e.g., 7%), paying down your mortgage provides a guaranteed, risk-free 7% return on your money.

Do extra payments lower my required monthly payment?

No. Making extra payments reduces your principal balance and shortens the overall lifespan of the loan, but your required monthly bill will remain exactly the same until the entire mortgage is paid off.

Are there any penalties for paying off my mortgage early?

While rare on modern standard loans, some lenders do charge a "prepayment penalty" if you pay off the debt too quickly. You can easily check if your loan has this penalty by reviewing page 1 of your official Loan Estimate.

How often should I make extra payments?

Any frequency helps! You can make one lump-sum payment annually, add an extra $100 to your monthly bill, or switch to a bi-weekly payment schedule (which results in one full extra mortgage payment per year).