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Does making one extra mortgage payment a year really knock years off your loan,
It is 100% mathematical reality, not a marketing gimmick. The reason lies in how compound interest is front-loaded in standard amortization schedules.
On a standard 30-year fixed loan, 70% to 80% of your monthly payment in the first 5 to 7 years goes purely to bank interest, while only 20% reduces your actual principal balance.
When you make one extra full payment per year (or pay 1/12th extra each month) and explicitly instruct your loan servicer to apply it to “Principal Only”, that money bypasses future interest compounding entirely.
Real-world numbers on a $400,000 mortgage at 6.75% (30-year fixed):
• Standard total interest paid: ~$534,000 over 30 years.
• With one extra monthly payment per year ($2,594 extra annually):
– You save over $112,000 in pure interest.
– You shave 5.5 to 6 full years off your loan, becoming debt-free in ~24 years.You can simulate your exact loan balance and extra payoff timeline with zero tracking cookies or ads here:
👉 https://smartmortgagecalc.space/extra-payment
smartmortgagecalc.space
Extra Payments Toward Principal Calculator [Save $100k+] | SmartMortgageCalc
Calculate how extra payments toward principal save $100k+ in interest and eliminate years of debt.
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