Your mortgage repayment frequency—whether monthly, fortnightly, or weekly—can significantly impact how much interest you pay over time. Choosing the right schedule helps you manage your budget and reduce your loan faster.
When it comes to mortgage repayment frequency, more frequent payments usually mean lower interest costs. That’s because interest on home loans is calculated daily. The faster you reduce your principal, the less interest you’ll pay.
What Is a Home Loan Repayment?
A home loan repayment is the regular amount you pay your lender to repay the money borrowed for your property. These payments include:
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Principal: The original loan amount
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Interest: The cost of borrowing the money
Repayment terms typically range from 10 to 30 years. Choosing the right mortgage repayment frequency can help you save thousands over the life of your loan.
Monthly Mortgage Repayments
Monthly repayments are the most common structure in Australia. Your payment amount depends on:
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Loan size
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Loan term
Longer terms usually mean lower monthly payments. For example, a 30-year mortgage spreads the cost more than a 15-year loan. Use a to compare options and find the best fit.
Fortnightly Mortgage Repayments
Fortnightly repayments are made every two weeks—26 times a year. To estimate your payment, divide your monthly amount by two.
This structure can help you pay off your loan faster. You’ll make the equivalent of 13 monthly payments each year, which reduces your principal more quickly.
Weekly Mortgage Repayments
Weekly repayments are made 52 times a year. Divide your monthly payment by four to estimate your weekly amount.
Like fortnightly payments, weekly repayments can save you money by reducing your principal more often. They also align well with weekly income schedules, making budgeting easier.
Which Mortgage Repayment Frequency Is Best?
Choosing the right mortgage repayment frequency depends on your financial goals and income cycle. Here’s why switching from monthly to weekly or fortnightly payments can be beneficial:
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Interest is calculated daily—more frequent payments reduce total interest
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Fortnightly and weekly payments often result in one extra month’s worth of repayments per year
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Aligning payments with your income helps with budgeting
Example: Monthly repayment = $1,000 → $12,000/year Fortnightly repayment = $500 × 26 = $13,000/year Weekly repayment = $250 × 52 = $13,000/year
That extra $1,000 goes directly toward your principal, saving you interest over time.
How to Switch Your Mortgage Repayment Frequency
Check Your Lender’s Options Visit your lender’s website or contact them directly to see if they offer weekly or fortnightly repayment options.
Contact Your Lender Use your online banking portal, call, or visit a branch to request the change.
Ask About Half-Monthly Repayments Some lenders calculate fortnightly payments as half of your monthly amount. This method results in 13 monthly payments per year.
Inquire About Fees Ask if there are any fees for switching repayment frequency or making extra payments.
Negotiate Your Interest Rate While you’re at it, ask for a better rate. Refinancing or switching repayment frequency is a great time to renegotiate.
For more tips, check out Ratebuster’s guide on and .
