Mortgage calculators
Interest-only repayment calculator
Compare interest-only and principal and interest repayments, and see how repayments change when the interest-only period ends.
Results are estimates based on the figures you enter and the example rate shown. They aren't a quote, an offer of credit or a guide to what a lender will approve.
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What happens when interest only ends?
During an interest-only period, scheduled payments cover interest and the balance does not fall. When it ends, the full balance is repaid over the shorter remaining term, so repayments step up and total interest is higher than a principal-and-interest loan from the start. Lenders typically limit interest-only periods and may reassess eligibility before extending one.
Who uses interest-only?
Some investors and borrowers with uneven cash flow use interest-only periods for flexibility. Interest-only lending can carry different rates and conditions. Whether it suits you depends on your purpose and plans; seek appropriate advice.
Calculations are estimates for general information only. They do not constitute a loan offer, credit approval or personalised financial advice. Actual repayments, fees, eligibility and savings depend on your lender, loan contract and circumstances. Speak with a qualified professional before making a decision.