Methodology
How our results are calculated
The headline figures on our homepage are modelled estimates across our serviced customer base. Here is how each number is calculated.$55 million
Interest avoided
Our model estimates approximately $56.97 million in interest avoided across our serviced customer base. Here is how that estimate is calculated.Using an average mortgage balance of $500,000 and a constant annual interest rate of 5%, the monthly repayment over a 25-year term is $2,922.95. Increasing that repayment by $592.22 to $3,515.17 reduces the loan term to 18 years.Our clients have been with us for an average of eight years. Over that period, the modelled accelerated repayment schedule reduces the mortgage balance to $331,414.90. Total repayments amount to $337,456.25, comprising $168,585.10 in principal and $168,871.15 in interest.Under the original 25-year repayment schedule, reaching the same remaining mortgage balance takes approximately 12.18 years, by which point interest payments total $258,767.31.Comparing the two schedules at the same remaining balance therefore produces an estimated $89,896.16 in interest avoided per mortgage.Over 15 years, at an average of 65 customers per year, our estimated customer base totals 975. Applying our 65% servicing assumption gives approximately 634 customers. Using the unrounded figures, the estimated interest avoided across this customer base totals $56,971,689.24.This is a modelled estimate, not verified customer savings. It applies an eight-year repayment period, reflecting average client tenure, to the estimated serviced customer base. It assumes a constant 5% annual interest rate, monthly repayments and no fees. Interest is compared at an equivalent remaining mortgage balance, rather than over the same elapsed period. Individual circumstances and actual outcomes will vary.$65 million
Potential accumulated funds
Our budget program model estimates approximately $66.57 million in potential accumulated funds across our serviced customer base. Here is how that estimate is calculated.The model assumes an annual budget improvement of $11,000 per customer – equivalent to approximately $916.67 per month. If this amount is set aside at the end of each year and earns a constant annual return of 5%, it grows to $105,040.20 over eight years.Of this amount, $88,000 comes from the customer’s contributions, with the remaining $17,040.20 generated by compound growth. The eight-year period reflects the average time our clients have been with us.Over 15 years, at an average of 65 customers per year, our estimated customer base totals 975. Applying our 65% servicing assumption gives approximately 634 customers. Using the unrounded figures, the modelled accumulated funds across this customer base total $66,569,225.25.This is an illustrative projection, not verified customer savings or a guaranteed investment outcome. It assumes each modelled customer sets aside $11,000 annually for eight years and earns a constant 5% annual return, with no withdrawals and no allowance for fees, tax or inflation. Actual budget improvements, contributions and returns will vary.$350 million