A biweekly payment mortgage is a specific payment plan in the mortgage or loan space. It means any mortgage payment system which happens once every two weeks. This is different from bimonthly payment mortgages, where payments happen twice each month, without adhering to the strict 14-day rule.
Biweekly payment mortgages are those where repayment amounts have to be paid every 14 days by the borrower. Once every two weeks, the payment amount has to be debited from the borrower account. These mortgages naturally reduce the tenure of the loan and also the total interest cost at the same time.
Some lenders allow biweekly payment mortgages for borrowers. However, this is not such a common occurrence. Monthly installments are commoner and preferred choices for most borrowers. Many borrowers also reduce their loan tenures and interest outgo by paying one additional monthly amount every year. This serves the same purpose as a biweekly payment mortgage.
