Determine the additional monthly payment amount needed to pay off the loan sooner.
An early payoff calculator is a financial tool designed to help you understand the potential benefits and implications of paying off your mortgage ahead of schedule. This calculator considers the original loan balance, interest rate, loan term, months already paid on the loan, and the number of years you seek to pay off your loan.
By inputting these details, the calculator can provide valuable insights into the impact of making extra payments towards the mortgage. It generates a projection that illustrates how accelerating payments could lead to the mortgage being paid off earlier than the original term, which can result in substantial savings on interest payments over the life of the loan.