1. What is Accelerated Weekly Payment?

Accelerated weekly payments are a mortgage payment strategy where you make payments every week instead of monthly, resulting in 52 payments per year (equivalent to 13 monthly payments). This can help pay off your mortgage faster and save on interest.

2. How Does the Calculator Work?

The calculator uses the accelerated weekly payment formula:

Where:

• \( \text{monthly\_payment} \) — Your regular monthly mortgage payment
• \( r \) — Annual interest rate in decimal form

Explanation: The formula adjusts your monthly payment to account for the accelerated payment schedule while considering the interest savings.

3. Benefits of Accelerated Weekly Payments

Details: Accelerated weekly payments can help you pay off your mortgage years earlier and save thousands in interest over the life of the loan, as you're effectively making one extra monthly payment each year.

4. Using the Calculator

Tips: Enter your current monthly mortgage payment and annual interest rate. The calculator will show your equivalent accelerated weekly payment amount.

5. Frequently Asked Questions (FAQ)

Q1: How much faster will I pay off my mortgage?
A: Typically 4-6 years faster on a 30-year mortgage, depending on your interest rate and loan amount.

Q2: Is this the same as bi-weekly payments?
A: No, bi-weekly results in 26 payments per year (equivalent to 13 monthly payments), while weekly results in 52 payments.

Q3: Will my lender accept weekly payments?
A: Most lenders accept accelerated payments, but check with your specific lender for their policies.

Q4: Are there any drawbacks?
A: Requires more frequent payments and tighter budgeting, but the long-term savings are significant.

Q5: Can I switch back to monthly payments?
A: Yes, most lenders allow you to change your payment schedule if needed.