What this calculator shows
- The estimated regular monthly payment needed to amortize the remaining balance.
- The approximate interest avoided by adding the selected amount every month.
- The estimated number of months and years removed from the payoff schedule.
How is a Canadian mortgage rate converted?
For this estimate, the entered nominal annual rate is treated as compounded twice per year, then converted to an equivalent monthly rate. Actual lender statements can differ because of payment dates, rounding, fees and contract terms.
Does this include prepayment penalties?
No. The estimate assumes the extra payment is permitted and applied directly to principal. Confirm your available privilege and any penalty with your lender before paying extra.
What should I compare before prepaying?
Consider liquidity, emergency savings, higher-interest debt, tax consequences and any employer matching or other guaranteed benefits. A lower mortgage balance can reduce interest, but cash paid into a mortgage may be harder to access.
Also estimating revolving debt? Try Bremo’s Canadian credit-card interest cost planner.