01
Cut term
Same payment, fewer years. Often maximises interest saved if you can keep the instalment.
Tool
Early repayment: term or payment
Enter outstanding balance, TIN, years left and how much you’ll overpay. Compare remaining interest if you shorten the term (same payment) or lower the payment (same term). The fee is indicative — the legal cap depends on your deed.
Indicative only. Not your bank’s settlement or a binding offer.
Result
Net benefit
€18,174
On these figures, overpaying tends to pay off.
- Interest saved
- €18,224
- Fee
- €50
- Current payment
- €951
- New payment
- €951
- Months saved
- 40
- Balance after
- €160,050
Indicative only. Early-repayment compensation is set by your contract and Law 5/2019 (and later changes). Not your bank’s official settlement.
Method
How we compare both paths
We use the French system (BdE). After applying the net overpayment (amount − fee), we either keep the payment and recompute months, or keep the term and recompute the payment. Net benefit = interest saved − fee.
- 02
Cut payment
Same term, lower instalment. More monthly cash; interest saved is usually smaller.
- 03
Fee
Indicative legal caps (Law 5/2019). Variable-to-fixed switches can differ. Edit the % to match your deed.
Worked example
€180,000 outstanding, 22 years, 3.2% TIN. Overpay €20,000 with a 0.25% fee and choose to cut term.
- Net benefit
- €18,174
- Interest saved
- €18,224
- Months saved
- 40
- New payment
- €951
FAQ overpayment
Paying down principal. With judgement.
When it pays off, fee caps, and whether to cut the payment or the years.
If you can keep the payment, cutting term usually saves more interest. If you need monthly breathing room, cut the payment. Use the net benefit figure — there’s no single answer.
Next step
Overpay or switch banks? We check your deed.
Sometimes €20,000 early saves less than a well-done remortgage. Sometimes it’s the opposite. We run the numbers on your FEIN and contract — not a random internet %.
Remortgage calculator →Madrid · Zaragoza · Valencia · Palma