Bi-weekly payment plans help you make 26 bi-weekly payments in a year.  As a result, you make 13 monthly payments in a 12 month year.  Your extra monthly payment goes straight towards the principal of the loan.  And that’s how a bi-weekly plan helps pay your loan off early and save you money.

The bi-weekly payment plan can be used on any and every loan with a fixed interest rate.  For decades now, most loans through a FDIC bank can be paid off early without an interest penalty.  That means the bi-weekly plan can be used to save a lot of money on student loans, auto loans, mortgages, etc.