Offset Savings Simulator
See how your savings act as an "Interest Shield" to pay off your mortgage faster.
Loan Parameters
"An offset account is simply a transaction account linked to your loan. Every dollar in here cancels out a dollar of debt for interest calculations, while keeping your money 100% accessible."
Your Offset Mechanics
Mortgage Balance
$500,000
Interest Shielded
$194,606
Time Slashed
5 Years & 4 Months
Monthly Repayment
$2,997.75
Principal & Interest
Note: Your repayment stays exactly the same, but the interest portion shrinks, causing more of your money to attack the debt principal directly.
Total Interest Payable
Michael's Ultimate Strategy
"Most people use an offset just for extra savings, but the pro-move is to have your entire salary paid into the offset and use a credit card for daily expenses. You keep every cent working for you 24/7, shielding interest until the very moment your credit card bill is due."