30/08/2026
Paying off your home loan early can give you greater financial freedom and save you thousands of dollars in interest over the life of your loan. 💰
Here are some of the most effective ways to smash your loan faster:
➡️ Switch to fortnightly payments: Instead of paying monthly, split your monthly payment in half and pay fortnightly. Because there are 26 fortnights in a year, you’ll end up making the equivalent of an extra month's payment each year!
➡️ Utilise an offset account: Make your savings work for you. By keeping your spare cash or emergency fund in a linked 100% offset account, you reduce the balance that interest is calculated on, meaning more of your payment goes toward the principal.
➡️ Make use of your redraw facility: Got a bonus, tax return, or cash injection? Put it straight into your loan. Most variable loans allow you to redraw these extra funds later if you absolutely need them, while saving you interest.
➡️ Round up your payments: When budgeting, round your regular repayment up to the nearest $50 or $100. Even a small consistent extra buffer compounds massively over a 25 or 30-year term.
➡️ Review and refinance: Don't just set and forget. Speak with your broker regularly to ensure your interest rate remains competitive compared to what's currently available in the market.
Want to see how much time and interest you could save by tweaking your payment strategy? Let’s chat today! 📞👇
