Breaking a fixed mortgage can cost thousands
Mortgage Break Penalty Calculator
Canadian lenders charge the greater of 3 months interest or Interest Rate Differential (IRD). Estimate both in seconds.
Your mortgage details
5.24%
5 years
24 months
How it works: Canadian banks typically charge the greater of (A) three months interest at your contract rate, or (B) the Interest Rate Differential. IRD compares your contract rate to the lender's current posted rate for a term similar to your remaining term, multiplied by your remaining balance and months.
Lenders use different posted-rate and discount-rate IRD formulas, so this is an estimate. Confirm the exact penalty with your lender before breaking.
Estimated penalty
$22,500
Based on IRD calculation
3-month interest$6,550
IRD estimate$22,500
Remaining term36 months
Comparable rate used3.74%
• Lenders use different IRD formulas. Some use posted rates, others use discounted rates. Confirm with your lender before breaking.