You may have heard that changing to fortnightly loan repayments is a good idea but are unsure.
The reason is quite simple.
By paying fortnightly repayments instead of monthly repayments you will make an extra monthly payment each year.
This can cut years off your loan which will save you literally thousands of dollars.
With a fortnightly repayment plan, instead of paying your entire mortgage payment once a month, you pay half of the standard amount on a specified date every two weeks and over the course of a year you’ll make 26 half-payments which are equivalent to 13 full payments.
This can seem to many people a lot less painless than increasing your monthly home loan repayments which would in fact have a very similar result with the correct structured home loans.
You can find more information on the benefits of changing to fortnightly loan repayments on this old blog post. READ MORE
You might be surprised how much of a difference just changing to fortnightly repayments can make and is one simple way to pay your home loan off faster. But of you are really serious then you could sign up for a mortgage repayment system like Eat My Mortgage – CLICK HERE for more about this.
