If you're a homeowner, you may need to learn how to calculate a bi-weekly mortgage payment. A bi-weekly mortgage means that you pay your mortgage every two weeks, and it allows you to save money by paying off your mortgage quicker. But, it is important that you calculate your bi-weekly mortgage payment correctly to avoid any late, underpayment fees. It is simple to do, so don't worry.
To calculate your bi-weekly mortgage payment, you will need:
- your loan interest rate
- your terms of the loan
- the start date of the loan
- your loan amount
- an online bi-weekly calculator
- To calculate your bi-weekly mortgage payments, search on the Internet for a "bi-weekly mortgage calculator". There are many of these types of calculators online. Make sure to choose the correct calculator. Some calculators are for true bi-weekly mortgages, and others are for extra payment bi-weekly mortgages. Double check your mortgage terms to know which type of mortgage you have.
- Learn how to calculate your bi-weekly mortgage using the calculator at Bankrate.com. Go to http://www.bankrate.com/calculators/mortgages/bi-weekly-mortgage-calculator.aspx .
Type in your principal loan amount in the first box. This is the amount of money that you borrowed from the bank.
Input the annual interest rate for your loan on the second line of the form. This is the percentage of interest that you must pay for the life of the loan.
- Write the amortization length in the third box. The amortization length is the number of years that you must pay your loan.
- Lastly choose if you want the amortization table to shown in your calculation. If you want the table, leave the drop-down box alone, if you want a report without the table, choose no, and click on "Calculate".
- Check that the amount is correct. You want to be sure to double check that the amount is correct. You can use another online calculator to make sure that the payment amount is the same. If it is the same, you can feel sure that your will not be penalized for not paying the full amount of the mortgage every two weeks.