Biweekly vs Monthly Loan Payments

The math behind biweekly

Monthly: 12 full payments per year. Biweekly: pay half every 2 weeks. There are 52 weeks in a year, so 52/2 = 26 half-payments = 13 full monthly equivalents. That extra payment goes 100% to principal.

Side-by-side: $300K mortgage at 6.5%, 30-year

• Monthly: $1,896/mo, paid off in 30 years, total interest ~$382,500.
• Biweekly: $948 every 2 weeks (≈ $2,054/month average), paid off in ~25 years, total interest ~$320,000. Saves ~$62,500.

Other loan examples

$25K car loan at 8%, 5-year

Monthly: pays off in 60 months, $5,415 interest. Biweekly: pays off in ~54 months, ~$4,800 interest. Saves ~$615 and 6 months.

$15K personal loan at 11%, 4-year

Monthly pays off in 48 months. Biweekly in ~44 months, saves a few hundred dollars in interest.

Setting it up

1. Check that your lender accepts biweekly payments and applies the extra to principal (not the next month's payment).
2. Avoid third-party 'biweekly programs' that charge fees — most lenders allow this for free.
3. Or simply pay 1/12 extra each month (e.g. $158/month extra on a $1,896 payment) — same effect, simpler setup.

Use the calculator

Frequently Asked Questions