Home Loans Principal and Interest Calculator

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*iSelect is the trading name of iSelect Mortgages Pty Ltd (ABN 86 148 217 181). iSelect Mortgages Pty Ltd is a credit representative (Credit Representative 400540) of Lendi Group Distribution Pty Ltd (Australian Credit Licence 246786). iSelect provides a referral to Lendi Pty Ltd, a Credit Representative of Lendi Group Distribution Pty Ltd (Australian Credit License 246786). iSelect Mortgages Pty Ltd receives a commission from Lendi Group Distribution Pty Ltd, the licensee for each new customer account created and for each home loan submitted through this service. Learn more.

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Updated 25/01/2024
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Minor rewrite for tone and readability
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Written by

Francis Taylor

Updated 25/01/2024

What changed?

Minor rewrite for tone and readability
Our aim is to help you make better informed decisions. That’s why iSelect’s content is produced in accordance with our fact-checking and editorial guidelines.

Find out more about how we make money.

View our Privacy Policy.

Compare home loans the easy way

We partnered with Lendi* to help you compare home loans from over 25 lenders and over 2,500 home loan products.

How does the principal and interest calculator work?
How to read the principal and interest calculator results
Can I make extra repayments on my Home Loan?
Compare Home Loans with iSelect and Lendi

How does the principal and interest calculator work?

It’s easy! Just follow these simple steps: 

  1. Enter the total amount of your Home Loan (the amount you agreed to borrow). 
  2. Enter the term of your Home Loan (the total number of years over which you agreed to pay back your Home Loan). 
  3. Enter the interest rate you’ll be charged on your Home Loan (check this on your loan statement). 
  4. Select the frequency of your Home Loan repayments (weekly, fortnightly, or monthly). 
  5. Select whether you’ll be paying principal and interest or interest only. 
  6. If you’re making extra repayments, click the ‘extra repayments’ tab and enter the amount and frequency of those repayments. 

How to read the principal and interest calculator results

The principal and interest calculator gives you a breakdown of how much of your repayment goes towards the interest and how much towards the principal each month. It also shows a running total of how much you’ve paid towards each, as well as the principal you have remaining at the end of every month.  

You might want to try putting in different extra repayment amounts. You’ll find out how the different amounts might reduce your interest charges and help you pay off your Home Loan sooner.  

Are you curious what would happen if you diverted funds from, say, your streaming services that you don’t use too often? How often are you watching episodes of Love Island UK anyway? Try it and you might find that putting those funds into your Home Loan will have surprising long-term results.

Helpful tip:

There are a few things you can do to get the most out of the principal and interest calculator. For instance: 


  • Test out different interest rates to see how much you’ll need to make in repayments if they change.

  • Be mindful how a loan term can affect your repayments. A shorter term means you’ll pay less in interest over time, but your regular repayments will be much higher.

  • Additional fees might not be reflected by the calculator, so make sure you factor in any administration fees that will get charged on top of your repayments.

Debbie Shankar

Group Content Manager, Lendi

Can I make extra repayments on my Home Loan?

Not every borrower can make extra Home Loan repayments under the terms of their loan. While a Variable Rate Home Loan allows you to make unlimited additional repayments, Fixed Rate Home Loans can be more restricted.1Lendi – Fixed, variable or split rate home loans: which is right for you?  Most Fixed Rate Home Loans won’t let you make uncapped extra repayments and could charge break fees if you do.2Aussie – Refinancing a fixed rate mortgage? Beware of break fees 

Before you try to make extra repayments, it’s worth contacting your lender or reading your Home Loan terms to make sure you won’t be penalised.  

If you think you might want to make extra mortgage repayments on your Home Loan, consider opting for – or refinancing to – a Home Loan with a variable interest rate. If you’d prefer a fixed rate, speak to a mortgage broker about finding a Fixed Rate Home Loan that allows for extra repayments.

Compare Home Loans with iSelect and Lendi

We’ve partnered with Lendi to help our customers compare Home Loans from a range of lenders.* It doesn’t take much effort and it could save you a lot. Click here to compare Home Loans with Lendi today!

Get started on comparing home loans today!*

Find a home loan by comparing with iSelect’s trusted partner, Lendi.

*iSelect is the trading name of iSelect Mortgages Pty Ltd (ABN 86 148 217 181). iSelect Mortgages Pty Ltd is a credit representative (Credit Representative 400540) of Lendi Group Distribution Pty Ltd (Australian Credit Licence 246786). iSelect provides a referral to Lendi Pty Ltd, a Credit Representative of Lendi Group Distribution Pty Ltd (Australian Credit License 246786). iSelect Mortgages Pty Ltd receives a commission from Lendi Group Distribution Pty Ltd, the licensee for each new customer account created and for each home loan submitted through this service.