Td variable interest rate mortgage
The majority of TD's mortgage rates include a standard 120-day rate hold and flexible 15% lump sum and 100% payment increase prepayment features. Note that prepaying more than the allowed amount will involve a penalty. In this example, because you had a fixed rate mortgage, TD would charge you the greater of three months’ interest or the interest rate differential (IRD). Since we know three months’ interest was only $1,313, you would have to pay the IRD , which is $8,218 + $75 to discharge your mortgage for a total of $8,923.