mortgages

Fortnightly vs Monthly Repayments

Fortnightly repayments can reduce interest and shorten your loan. Learn how it works and model the savings.

Updated Jan 2026

Fortnightly vs Monthly Repayments

Fortnightly repayments often reduce interest because you end up making 26 half-payments per year — which is effectively 13 monthly repayments.

How to model it

When fortnightly doesn’t help much

If your lender still calculates interest daily (most do) but your payment schedule doesn’t reduce balance earlier (depends on how the lender applies payments), savings may differ.

Best approach: treat this as a strong estimate, then confirm with lender statements once the loan is active.