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Managing Your RBC mortgage

Thinking of breaking your mortgage prior to your maturity date? There are a few key things to consider, such as prepayment charges, which may apply.

Mortgage Prepayment Charges

Thinking about refinancing, prepaying a large amount, prepaying the full amount or renegotiating your current mortgage? Before you do, there are several things to keep in mind—the most important one being whether or not you will have to pay the mortgage prepayment charge.

What is a Mortgage Prepayment Charge?

The purpose of a prepayment charge is to compensate the lender for the economic costs it incurs when a prepayment amount exceeds the prepayment privileges permitted under the mortgage.

What's Right for You?

The best way to know whether you can still save money in the long run after paying the mortgage prepayment charge is to visit your RBC branch and talk with us.

Our Mortgage Prepayment Charge Calculator can also help you determine how much it could cost to break your mortgage. If you have a fixed rate closed mortgage, our calculator can help you determine what interest rate you would need to get in order to "break even."

To learn more about breaking your mortgage and mortgage prepayment charges, see Renegotiating Your Mortgage Agreement, Financial Consumer Agency of Canada

Important Details for Former HSBC Bank Canada Clients

Understanding Mortgage Prepayment Charges

Understand your options and find answers to frequently asked questions such as:

  • Why is there a prepayment charge for a closed-term mortgage?
  • How is the prepayment charge for a closed variable rate or RateCapper mortgage calculated?
  • How is the prepayment charge for a closed fixed rate mortgage calculated?
  • Why can the prepayment charge change?
Read More about Understanding Mortgage Prepayment Charges

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