Result
Which is better
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This calculation is for informational purposes only and does not replace advice from a qualified professional. Formulas and rates may not fit your exact situation — double-check the figures before making decisions.
How it is calculated
Deposit income = spare amount × deposit rate ÷ 100 × months ÷ 12. Early repayment savings (estimate) = spare amount × loan rate ÷ 100 × months ÷ 12 — the same simple-interest formula applied to the loan rate instead of the deposit rate, as an approximation of interest saved.
The comparison boils down to comparing the rates themselves: if the loan rate is higher than the deposit rate (the usual case — loans are almost always pricier than deposits), prepaying the loan saves more money than the same amount could earn in a deposit over the same period.
The early repayment savings estimate here is approximate — it doesn't account for the exact repayment schedule (annuity or differentiated) or how interest is distributed over the outstanding balance over time. For a precise figure, use the separate early repayment savings calculator.