There’s a surprisingly simple strategy that could save you thousands over the life of your mortgage—and most homeowners overlook it.
So what is it?
Switching to biweekly mortgage payments.
Before you assume this means doubling your payment, it doesn’t. Instead of making one full payment each month, you split it in half and pay that amount every two weeks.
This approach—commonly known as a biweekly payment plan—helps you chip away at your loan balance faster. By doing so, you reduce how much interest builds up over time.
Here’s why it works:
With a traditional monthly schedule, you make 12 payments per year. But when you pay every two weeks, you end up making the equivalent of 13 full payments annually. That extra payment goes directly toward your principal, helping you pay down your loan faster and cut interest costs significantly.
The result? Less interest paid and a shorter loan term.
What to Check Before You Start
Before jumping in, it’s important to confirm how your lender handles biweekly payments.
Some lenders don’t officially support this structure and may hold partial payments until a full monthly amount is received. Others might offer biweekly programs but charge a fee to process the extra payments.
If fees are involved, you can still create the same effect on your own—by setting aside half your payment every two weeks and making one extra full payment each year. This DIY approach often delivers the same benefits without the added cost.
How Much Could You Save?
Let’s look at a real-world example.
On a 30-year fixed-rate mortgage of $350,000 at a 6% interest rate, your monthly payment would be about $2,099. Over the life of the loan, you’d pay roughly $405,000 in interest.
By switching to a biweekly payment strategy, you could reduce your total interest to around $330,000—saving approximately $75,000. Even better, you could pay off your mortgage about five years early.
Another Easy Alternative
If biweekly payments don’t fit your schedule, there’s another simple option: make one extra payment each year.
You can use a bonus, tax refund, or any unexpected income to cover it. Applying just one additional payment annually—around $2,099 in this scenario—can still shave several years off your loan and save you tens of thousands in interest.
Making small changes to how you pay your mortgage can lead to big financial wins. Whether you choose biweekly payments or a single extra payment each year, the key is consistency—and letting those extra dollars work for you over time.
Experienced Chief Operating Officer with a 26 + year demonstrated history of working in the banking industry. Skilled in all aspects of the residential mortgage market . Strong business development professional with a Bachelor of Science (BS) focused in Business Administration and Management, from St. Joseph College. A direct endorsement underwriter and a licensed Mortgage Loan Originator.