PAYMENT SCHEDULE

Do biweekly mortgage payments save interest?

With a true biweekly plan, half of a monthly payment is made every two weeks. Because there are 26 biweekly periods in a year, that can equal 13 monthly payments rather than 12.

Check the servicer’s timing

Some programs hold partial payments until a full monthly amount is available. In that case, interest savings may differ from an arrangement that credits payments promptly. Fees can also change the result.

Compare a simple alternative

Adding one-twelfth of a monthly payment as extra principal each month can be easier to control. Compare both options using the same annual extra amount and your lender’s actual rules.