Repayment Holiday Impact Calculator
Work out how much extra interest accrues and how much longer your loan takes to repay after a repayment pause or holiday.
Your results
Calculation breakdown
- Balance during pause
- Interest compounds onto the balance each month with no repayments made
- Extended term
- Re-amortise the higher balance at the original repayment amount
Worked example
Pausing repayments for 3 months on a $450,000 loan at 6% adds about $6,800 to the balance and roughly 3 extra months to the loan term.
Assumptions
- Assumes the lender continues charging interest as normal during the pause, which is common but not universal.
- Assumes the original repayment amount resumes unchanged after the pause.
How this calculator works
This calculator estimates the interest that accrues on your mortgage balance during a repayment holiday and re-amortises the remaining term at your original repayment amount, showing how many extra months are added to the loan.
Frequently asked questions
Does interest still accrue during a repayment holiday?
In most cases yes, interest continues to be charged on the outstanding balance during a pause, which is then added to the loan for you to repay later.
Will my repayments increase after the pause?
This calculator assumes you resume your original repayment amount, so the loan simply takes longer; some lenders instead increase the repayment to keep the original term.
Should I request a repayment holiday if I am struggling?
Contact your lender's hardship team early, since a temporary pause can help in the short term but adds cost overall, and other options may suit your situation better.
Results are estimates only and are not financial, tax, legal or credit advice.