What a biweekly mortgage payment is
A biweekly mortgage payment is a payment schedule where you pay half your normal monthly mortgage amount every two weeks instead of paying the full amount once a month. Since there are 26 biweekly periods in a year, you end up making 26 half-payments—which equals 13 full monthly payments instead of 12. That extra payment each year goes directly toward your principal balance.
Your lender does not automatically set you up on biweekly payments. You have to request it, and not all mortgage servicers offer the option. Some charge a setup fee (typically $200 to $500) and a small processing fee per payment (usually $1 to $3). Others offer it free. You need to contact your servicer directly to ask whether they support biweekly payments and what their fees are.
Key Takeaways
- Biweekly payments mean you pay half your monthly amount every two weeks, resulting in one extra full payment per year that reduces your principal.
- Making that extra payment per year can shorten your loan term by several years and save tens of thousands in interest, depending on your loan balance and rate.
- Not all lenders offer biweekly payments, and those that do may charge setup and per-payment fees that can offset some of your savings.
- You can achieve the same result by making one extra monthly payment per year on your own without paying fees, though biweekly payments automate the process.
How the math works: principal reduction and interest savings
On a standard 30-year mortgage, you make 12 payments per year. With biweekly payments, you make 26 half-payments, which totals 13 full payments per year. That one extra payment goes entirely to principal because it is not part of your regular amortization schedule.
The impact depends on your loan balance and interest rate. On a $300,000 mortgage at 6.5%, making one extra payment per year can reduce your loan term by roughly 4 to 5 years and save approximately $60,000 to $80,000 in interest over the life of the loan. On a smaller or lower-rate loan, the savings are smaller. On a larger or higher-rate loan, they are larger. Your servicer or a mortgage calculator can show you the exact numbers for your situation.
The catch is fees. If your lender charges $300 to set up biweekly payments and $2 per payment, you will pay roughly $352 in fees over the first year alone. That reduces your net savings, especially in the early years. Over 30 years, though, the interest savings still typically outweigh the fees.
Who offers biweekly payments and what to expect
Large servicers like Fidelity National Home Loan Servicing Company, Rocket Mortgage, and some credit unions offer biweekly payments. Smaller or regional servicers may not. Before you commit, call your servicer and ask: Do you offer biweekly payments? Is there a setup fee? Is there a per-payment fee? Can I cancel and go back to monthly payments?
Once you enroll, your servicer will deduct half your normal payment every two weeks. Some servicers hold the payment in an escrow account until they have collected enough to make a full monthly payment to your loan. Others apply each half-payment immediately. Ask which method your servicer uses, because it affects when the principal reduction actually happens.
Doing it yourself instead of enrolling in a program
You do not have to enroll in a biweekly program to get the same result. You can make one extra full payment toward principal each year on your own, whenever you want. Send a check or make an online payment and specify that it should go to principal, not to escrow or interest. This costs you nothing and gives you complete control over timing.
The downside is that you have to remember to do it and stay disciplined about it. A biweekly program automates the process, which works better for people who do not want to think about it. But if you have the cash flow and the willpower, paying extra on your own avoids all fees and gives you the same payoff.
When biweekly payments make sense and when they do not
Biweekly payments make the most sense if you are paid biweekly yourself and want your mortgage payment to align with your paycheck. They also make sense if you want the discipline of automatic extra payments and the fees are low or zero. They make less sense if your servicer charges high fees, if you are already planning to pay extra on your own, or if you are close to paying off your loan.
Biweekly payments do not help you if you are behind on your mortgage or in forbearance. Your servicer will not let you switch to biweekly until you are current. They also do not help if you plan to sell or refinance within a few years, because you will not have time to recoup the setup fees through interest savings.
How to enroll and what documents you need
Contact your mortgage servicer by phone or through their online portal and ask to enroll in biweekly payments. You will need your loan number and account information. Some servicers let you set it up online; others require a phone call or a signed form. Ask whether they need anything from you beyond your account details—most do not.
Before you enroll, get the fee schedule in writing. Ask when the first biweekly payment will be deducted and when you will see the principal reduction on your statement. Also ask what happens if you miss a biweekly payment or want to cancel the program. Some servicers will let you pause or cancel anytime; others may require written notice or charge a cancellation fee.
Frequently Asked Questions
Will biweekly payments hurt my credit score?
No. As long as you make your biweekly payments on time, your payment history stays clean. Your credit report will show on-time payments, which helps your score. Biweekly payments do not change how your lender reports your account to credit bureaus.
Can I switch back to monthly payments if I change my mind?
Yes. Contact your servicer and ask to cancel the biweekly program. Most will let you return to monthly payments without penalty, though some may require written notice. Confirm the cancellation in writing and check your next statement to make sure the change went through.
What if I get paid monthly, not biweekly—does it still make sense?
It can, but you lose the alignment with your paycheck. You would have to budget for a biweekly payment from a monthly paycheck, which requires planning. If you can afford it, the interest savings are the same. If the fees are high, it may not be worth the hassle.
Do biweekly payments affect my property taxes or homeowners insurance?
No. Your property taxes and homeowners insurance are separate from your mortgage principal and interest. If your servicer collects escrow for taxes and insurance, biweekly payments do not change how much you pay into escrow each year—only how often you pay it.
Can I make biweekly payments if I have an adjustable-rate mortgage?
Yes. Biweekly payments work with any mortgage type—fixed-rate, adjustable-rate, FHA, VA, or conventional. When your rate adjusts, your biweekly payment amount will adjust too, but the schedule stays the same.