What are Accelerated Bi-Weekly Mortgage Payments

Accelerated Bi-Weekly Mortgage Payments definition

Depending on your banking institution, there are a variety of payment options available to those taking on a mortgage.

  • Monthly
  • Semi-monthly
  • Bi-weekly
  • Weekly
  • Accelerated bi-weekly
  • Accelerated weekly


The most common payment terms used: Monthly, Semi-monthly, and Accelerated Bi-weekly.

What’s the Difference?

With any payment type, the payments would begin after taking possession of the property. For example, if you chose monthly payments, your payments would begin one month after taking possession of the house. Accelerated bi-weekly payments would begin 2 weeks after (you’re making payments every two weeks), and semi-monthly would occur on the first and 15th of every month, whichever is furthest initially.

Payment Frequency

The frequency of payments is the most noticeable difference; with monthly you’ll have 12, semi-monthly 24, and 26 payments with accelerated bi-weekly payments. Monthly and semi-monthly payments are essentially the same (with one you’re making half the payment amount rather than one larger sum at the end of the month).

Accelerated payments will provide an additional payment that will reduce the principal on the loan that much sooner.

You will pay less in interest costs and pay off your mortgage faster with accelerated payments (whether weekly or bi-weekly). The savings are subtle when viewing your bi-weekly payment amounts, but a long-term perspective will show that the results are quite tangible.

Related Definitions

If you would like to talk about accelerated bi-weekly mortgage payments or any other payment schedule, please contacts us anytime!

Last updated Oct 29, 2018