Loan Repayment Calculator

Loan repayments are calculated using the standard amortisation formula (PMT), which divides the loan into equal payments over the term. Each payment covers a portion of the principal plus interest. In the early years, most of the repayment goes toward interest, with the principal portion increasing over time.

The total you pay over the life of the loan remains similar regardless of frequency, but paying more frequently can reduce total interest. Weekly or fortnightly payments effectively result in extra payments each year (52 weeks vs 12 months), which can shave years off your loan and save you thousands in interest.

Fixed rates give you certainty, your repayments stay the same for the fixed period (usually 1-5 years). Variable rates can go up or down with market conditions, potentially saving you money but carrying more risk. Many borrowers split their loan between fixed and variable. David can help you decide which option suits your goals and risk tolerance.

An amortisation schedule is a table that breaks down each payment into the principal and interest components over the life of the loan. It shows you how your balance decreases over time and helps you understand how much of each payment goes toward actually paying off the loan versus paying interest.

Most variable rate loans allow unlimited extra repayments, which go directly toward reducing your principal. Even small additional payments can make a big difference over time. Fixed rate loans may have limits on extra repayments (typically $10,000-$30,000 per year). David can find loans with the most flexible extra repayment terms.

Beyond regular repayments, consider upfront costs like stamp duty, conveyancing fees, building inspections and lender fees. Ongoing costs may include annual fees, lenders mortgage insurance (LMI) if your deposit is less than 20%, and offset or redraw facility fees. David provides a full cost breakdown as part of his service.

An offset account is a savings account linked to your loan, the balance offsets your loan balance, reducing the interest charged. A redraw facility lets you access extra repayments you have made. Both can significantly reduce your interest costs and give you flexibility. David can help you find loans with the best offset and redraw features.

No. David’s service is completely free to you. Mortgage brokers are paid a commission by the lender when your loan settles, so there is no cost to the borrower. You get expert advice, access to 40+ lenders and someone to manage the entire application process, at no charge.