Smart planning can dramatically shorten your home loan tenure — and help you achieve financial stability and freedom years ahead of schedule. A small tweak in how borrowers schedule their EMI payments, according to tax and finance expert CA Nitin Kaushik, could shave off several years from a typical 20–30 year mortgage while saving several lakhs in interest outgo.
In a post on X (formerly Twitter), Kaushik outlined what he calls a “quiet home-loan hack” that works without increasing the borrower’s monthly EMI. The strategy: swap the traditional single monthly EMI for two smaller payments every 15 days.
“Most people think a 20-30 year home loan is just something to ‘live with,’” Kaushik wrote. “But there’s a simple tweak that can quietly shorten your loan tenure — without increasing your monthly EMI.”
He explained that biweekly payments subtly increase the number of EMIs made in a year. While the standard monthly cycle results in 12 EMIs, switching to a biweekly rhythm adds up to 26 half-payments, which is equal to 13 full EMIs annually. This additional EMI directly chips away at the principal, reducing the outstanding balance faster and limiting the amount on which interest is calculated.
For a typical ₹5060 lakh home loan at 8-9% interest, Kaushik noted that borrowers could:
- • Cut their tenure by 6 to 7 years
- • Save ₹12-18 lakh in interest payments, depending on the rate and remaining tenure
Crucially, this doesn’t require renegotiating the loan or altering the interest rate — just adjusting the payment frequency.
Kaushik also flagged a couple of important caveats. Borrowers should first check whether their bank or housing finance company allows biweekly payments, as policies differ across lenders. And while most lenders calculate interest monthly, more frequent reduction of principal still results in lower overall interest outgo.
At a time when homebuyers are juggling high EMIs, rising living costs and long financial commitments, Kaushik’s recommendation offers a simple behavioural tweak that could bring the goal of debt-free homeownership much closer.
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