Result
Interest savings
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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
The calculation compares two totals: what would have been paid without the early repayment (remaining payment × remaining months on the original schedule) and what's paid with the early repayment (the repayment amount itself plus the same payment over the new, shorter term). The difference is the interest savings.
This uses the 'shorten the term' scheme rather than 'lower the payment' — it gives the maximum interest savings of the two standard recalculation schemes after an early repayment. If the bank lowers the payment instead, the real savings will be smaller than shown here — to compare both schemes, use the separate early loan repayment calculator with the mode selector.
The earlier the early payment is made (i.e. the more time remains until the end of the term), the bigger the savings — because the amount 'cut off' the debt would otherwise have kept accruing interest for much longer.