Mortgage Prepayment Calculator

3 min

See how extra payments can save interest and shorten your mortgage timeline.

CanadaNo account required

Interest you could save

$45,350

Paying $250 extra each month plus a $10,000 lump sum clears the balance in 16 years 8 months instead of 20 years.

Mortgage-free 40 months sooner

Your payment goes from $2,574 to $2,824.

Every extra dollar goes straight against principal.

Balance over time

Current planWith extra payments

$400K$200K$0K

NowYear 5Year 10Year 15Year 20

Interest paid

Interest you would pay now$217,756
Interest with extra payments$172,406

Interest saved$45,350

Payments

Current monthly payment$2,574

Extra each month$250

One-time lump sum$10,000

New monthly payment$2,824

Timeline

Payoff on the current plan20 years

Payoff with extra payments16 years 8 months

Time saved40 months

Estimates are based on the information and assumptions you provide and are for educational purposes only. This is not financial, tax, legal or lending advice.

What this means

A lump sum payment reduces the balance immediately, which cuts the interest that accrues each month.
Even a modest extra monthly payment can meaningfully reduce the remaining term over a mortgage schedule.

Check what a new mortgage would cost

Assumptions & methodology

Interest rate stays constant.
No additional fees or prepayment penalties are charged.
Payments are made every month and on schedule.

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