Borrow
How an extra $50 per week impacts your mortgage
New modelling has suggested that Australians with a $400,000 loan balance against their name could save tens of thousands in interest if they contribute an extra $50 per week to their mortgage.
How an extra $50 per week impacts your mortgage
New modelling has suggested that Australians with a $400,000 loan balance against their name could save tens of thousands in interest if they contribute an extra $50 per week to their mortgage.
New modelling from AMP showed that the extra $50, on top of regular repayments, would save four years and $46,992 in interest.
According to AMP’s modelling, the figures reveal that if people pay extra or keep their repayments at the same level as interest rate decreases, it has a significant impact on their future interest bill.
AMP Bank CEO Sally Bruce believes these extra payments could help Australians save thousands.
“Many people are unaware of the powerful impact extra repayments can make to their mortgage. With recent cuts to variable mortgage rates, home loan customers have a choice to make around whether to pocket the rate cut or save the extra money, or a portion of it, back into their home loan,” said Ms Bruce.
While this might not be realistic for everyone’s situation, anyone that can pay an additional $50 can greatly benefit.
“We know no two home loan customers are the same. We encourage anyone with a mortgage to consider their personal financial circumstances before deciding whether making extra repayments is right for them,” said Ms Bruce.
Adding $50: how the numbers stack up
AMP also applied the $50 method to other loan amounts, showing the marked difference the extra repayments make. They are as follows:
- $300,000 loan: Save $44,150 in interest and pay off the home loan five years and one month earlier.
- $400,000 loan: Save $46,992 in interest and pay off the home loan four years earlier.
- $500,000 loan: Save $48,887 in interest and pay off the home loan three years and four months earlier.
- $1,000,000: Save $53,203 in interest and pay off the home loan one year and nine months earlier.
RELATED ARTICLES
About the author
About the author
Loans
First-home buyer grants are blowing up prices and risk while savvy investors make their move
A new white paper argues first‑home buyer incentives are being capitalised into higher prices and larger loans—echoing long‑running warnings from the Reserve Bank and market economistsRead more
Loans
Low-deposit loans signal a high-value gap: how brokers and non-banks can turn constraint into competitive edge
An emerging wave of low-deposit approvals from non-bank players points to a structural gap in Australia’s mortgage market: strong borrowers blocked by savings friction, not serviceabilityRead more
Loans
The low‑deposit mortgage opportunity: A broker‑led growth case for Australia
Fresh loan performance data from non‑bank challenger Skip has surfaced a quiet truth: low‑deposit borrowers are materially underserved — and that’s a commercial opportunity hiding in plain sight for ...Read more
Loans
First-home buyers shrug off rate rises: A lender–developer playbook to capture resilient demand
Against conventional wisdom, Australia’s first-home buyers are proving rate-resilient. Government guarantees, tight rental markets and shifting lender tactics are fuelling a surge in activity even as ...Read more
Loans
Investor refinancing hits record highs: inside Australia’s race for mobile mortgage capital
Refinancing by property investors has surged to record levels in Australia as borrowers chase sharper rates and lenders fight to defend margins. Average loan sizes have pushed to new highs even as ...Read more
Loans
Australia’s mortgage stress is back: the 2026 playbook for banks, brokers and boards
Mortgage stress has re‑accelerated after the Reserve Bank’s February move, with fresh data indicating 24.5% of owner‑occupier borrowers are under pressure. Victoria, Queensland and Tasmania are ...Read more
Loans
First-home buyers are back: what the 26% surge means for lenders, builders and boards
A record fourth-quarter rise in first-home buyer activity has reset the mortgage market’s centre of gravity. With aggregator data showing a 26% jump in first-home buyer lodgements in Q4 2025 and ...Read more
Loans
Viking’s entry rewrites Australia’s mortgage aggregation playbook: win on software, not just scale
A new residential aggregator entering Australia after a decade-plus hiatus is more than a competitive curiosity—it’s a test of whether software, data and compliance-by-design can overcome entrenched ...Read more
Loans
First-home buyer grants are blowing up prices and risk while savvy investors make their move
A new white paper argues first‑home buyer incentives are being capitalised into higher prices and larger loans—echoing long‑running warnings from the Reserve Bank and market economistsRead more
Loans
Low-deposit loans signal a high-value gap: how brokers and non-banks can turn constraint into competitive edge
An emerging wave of low-deposit approvals from non-bank players points to a structural gap in Australia’s mortgage market: strong borrowers blocked by savings friction, not serviceabilityRead more
Loans
The low‑deposit mortgage opportunity: A broker‑led growth case for Australia
Fresh loan performance data from non‑bank challenger Skip has surfaced a quiet truth: low‑deposit borrowers are materially underserved — and that’s a commercial opportunity hiding in plain sight for ...Read more
Loans
First-home buyers shrug off rate rises: A lender–developer playbook to capture resilient demand
Against conventional wisdom, Australia’s first-home buyers are proving rate-resilient. Government guarantees, tight rental markets and shifting lender tactics are fuelling a surge in activity even as ...Read more
Loans
Investor refinancing hits record highs: inside Australia’s race for mobile mortgage capital
Refinancing by property investors has surged to record levels in Australia as borrowers chase sharper rates and lenders fight to defend margins. Average loan sizes have pushed to new highs even as ...Read more
Loans
Australia’s mortgage stress is back: the 2026 playbook for banks, brokers and boards
Mortgage stress has re‑accelerated after the Reserve Bank’s February move, with fresh data indicating 24.5% of owner‑occupier borrowers are under pressure. Victoria, Queensland and Tasmania are ...Read more
Loans
First-home buyers are back: what the 26% surge means for lenders, builders and boards
A record fourth-quarter rise in first-home buyer activity has reset the mortgage market’s centre of gravity. With aggregator data showing a 26% jump in first-home buyer lodgements in Q4 2025 and ...Read more
Loans
Viking’s entry rewrites Australia’s mortgage aggregation playbook: win on software, not just scale
A new residential aggregator entering Australia after a decade-plus hiatus is more than a competitive curiosity—it’s a test of whether software, data and compliance-by-design can overcome entrenched ...Read more
