Extra bond repayment calculator
See how much time and interest you could save by paying a little more each month.
- Time saved
- Repayment now
- Repayment with the extra
- New time to pay off
This calculator gives an estimate only, for general information. It isn't financial, tax or legal advice. Your bank, attorney, SARS or a tax practitioner confirms the final amounts.
How this is worked out
The calculator works out your current repayment, then follows the loan month by month, with and without the extra payment. Each month interest is charged on the balance, and the rest of the payment reduces what you owe.
Because extra money reduces the balance straight away, you pay less interest every month after that, which is why small amounts make a big difference over time.
Questions people ask
Will my bank penalise extra payments?
Banks generally accept extra payments into a bond. Paying the whole bond off and closing it is different: you normally give 90 days' notice, or may pay a fee instead. Check your agreement.
Can I get the extra money back?
Many bonds let you take back extra payments, known as an access facility, but it isn't automatic and the rules differ. Ask your bank how yours works.
Is it better to pay extra early?
Yes. Interest is highest at the start of a bond, so extra money paid early saves the most.