You’ve probably seen the claim online that paying your mortgage fortnightly will save you thousands in interest. In this episode, Jack Elliott and Chris Bates break down why that isn’t always true, and why it all comes down to how your bank actually calculates your repayments.

You’ll learn the two different repayment methods lenders use, when the “save thousands” theory works, and when switching to fortnightly makes no difference at all. We also cover how to choose the right repayment method for you.

In this episode:

🔑 The two ways banks calculate weekly and fortnightly repayments

🔑 When the “save thousands” theory actually works and when it doesn’t

🔑 How to choose the right repayment frequency for your situation

Timestamps

00:00 - Introduction and What’s Happening in the First Home Buyer Market (November 2025)

03:00 - The Viral Fortnightly Repayment Claim Explained

03:41 - The Half-Monthly Repayment Method & Example Breakdown

05:35 - Paying Your Loan on Your Terms (Not the Bank’s)

08:15 - The Actual Repayment Method & Example Breakdown

09:34 - Why Lenders Use Different Repayment Methods

12:39 - Jack’s Take: Why Monthly Repayments Often Work Best

13:13 - Chris’s Take: Cashflow, Behaviour, and Real-Life Strategy

14:58 - Considerations for Investment Purchases & Wrap-Up

Unlock your Free Resources

MoneySmart Mortgage Calculator

Episode 21 | Unlocking Unlocking How Your Mortgage Actually Works

Want to keep the conversation going?

👉 Join the First Home Unlocked Facebook Community

📅 Book a chat with Jack for tailored support

📱Follow Us on social media: Instagram, TikTok, Youtube

firsthomeunlocked.com.au