The Interest Killer.

Banks profit from your patience. See exactly how much time and money you save by accelerating your principal repayment.

Loan Parameters

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Monthly Payment

$0.00

Total Interest Saved

$0.00

Time Saved

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Why the "Amortization Curve" is Your Enemy

Most Canadians and Americans view their mortgage simply as a monthly bill. However, the mathematics of amortization are designed to front-load interest payments. In the first 5-7 years of a typical 25-year mortgage, nearly 50% to 70% of your payment goes purely to interest, not principal.

This is the "Interest Trap." For seniors approaching retirement, carrying this debt creates a massive drag on portfolio longevity.

The "Interest Killer" Strategy

Using the calculator above, you can verify a powerful mathematical truth: Principal acceleration is non-linear. Because interest is calculated on the remaining balance, every extra dollar you pay today prevents that dollar from generating interest costs for the next 20 years.

  • Lump Sum Payments: Using a tax refund or bonus to make a single lump sum payment can shave months off your term.
  • Bi-Weekly Payments: Switching from monthly to accelerated bi-weekly adds one extra full payment per year automatically.
  • Debt Consolidation: If you are carrying high-interest credit card debt (19%+), consolidating it into a lower-interest loan (5-7%) allows more of your cash flow to attack the principal.

Warning for Seniors:

Before paying off a mortgage aggressively, consider your liquidity. Once money is put into home equity, it is illiquid. Ensure you have analyzed your "Refinance ROI" and "Liquidity Trap" metrics at our main hub before depleting your cash reserves.