Extra Payment Calculator
Adding even a small amount to each payment attacks the principal directly. Here's what that's worth in time and interest.
Your numbers
Everything is calculated in your browser. Nothing you type here is sent to Verdi or stored anywhere.
Interest saved
$100,933
paid off 7 yr 5 mo sooner
- New monthly payment
- $2,061.65
- Payoff time without extra
- 28 years
- Payoff time with extra
- 20 yr 7 mo
- Total interest without extra
- $328,713
- Total interest with extra
- $227,780
Every $250 you add each month returns $100,933 in avoided interest.
How to use this calculator
Why extra payments work so well early
An extra payment reduces the balance immediately, and every future month's interest is charged on that smaller balance. The same extra dollar saves far more in year two than in year twenty.
Before you overpay
Clear higher-rate debt and a starter emergency fund first. Overpaying a 6% mortgage while carrying 24% credit card debt costs you money.
Common questions
Do I need to tell my lender the extra goes to principal?
Usually yes. Many servicers apply extra money to the next scheduled payment by default, which does not reduce interest the same way. Ask for it to be applied to principal.
Is a lump sum or monthly extra better?
Both help, and earlier is always better. A lump sum today removes interest on that amount for the whole remaining term.
This calculator is an educational estimate based only on the figures you enter. Verdi does not provide financial, investment, tax, legal, credit or lending advice. Actual rates, fees, taxes and terms offered to you may differ.