There are some methods that you can use to get a mortgage reduction. You may use one of these four or a combination of them. The first two, even though you pay the same amount, will help you reduce  the length of your mortgage by up to half. The third one will help you reduce the period with up to 6 years.

The first method involves having a 100% Offset Account and the second one a Home Equity Loan/ Line of Credit. These two methods are: to use all your income and savings into something that either offsets the interest or reduces the loan balance. An everyday savings account will make you pay a tax for it. An offset one is free of tax charges. The second method basically applies the same principle.

The third method is for those that pay a monthly rate and can switch to a fortnight or a weekly payment. The interest rate is calculated on a daily balance so at it reduces the interest rate decreases. The advantage of this is that you will diminish the time significantly.

The last method uses the principle of making additional payments whenever it is possible. The first years are almost made of interest. 14 years out of 25 you will pay more. If you can pay a little extra now and then you can reduce the balance, and thus, reduce the interest.

In conclusion, all you have to do is to keep one method that fits you best. You can also make a combination of two to minimize the time and amount being paid.