Thinking of breaking your mortgage early? Canadian lenders charge the greater of two penalties. This shows you both — and what your bank will most likely charge.
Your mortgage
$
%
mo
%
Your bank will likely charge
$0
The greater of the two below
Three months' interest
$0
Interest Rate Differential (IRD)
$0
Heads up: the Big-6 banks calculate the IRD using their posted rates, not the discounted rate you actually got — which can inflate this penalty 3–10×. Always ask for the exact figure in writing.
Don't just calculate the penalty — beat it.Looni makes lenders bid for your mortgage so you see the best switch, penalty and all.
Important: This is a simplified estimate for general information, not financial or mortgage advice. Real penalties depend on your exact contract, your lender's IRD method (posted vs. discounted rates, comparison-rate selection), prepayment privileges already used, and rounding. The IRD shown here uses a standard simplified formula. Always confirm the exact figure with your lender and speak with a licensed mortgage professional before acting. Read the full explainer: the mortgage penalty trap.