What difference does payment schedule make?
Most mortgages have very flexible payment alternatives. Weekly, bi-weekly, or monthly payments are most common. These choices also have a great effect on the overall interest payments.
Consider the example of a $150,000 mortgage with an interest rate of 6.20% over a 5 year term.
| | Payment | Remaining balance at end of term |
| Weekly | $244.40 | $129,285.80 |
| Bi-weekly | $488.81 | $129,327.89 |
| Monthly | $977.61 | $135,132.08 |