MORTGAGE PENALTY CALCULATOR / BY MITEY

Before you break.
Know the cost.

Selling, refinancing or paying down early? Bring the contract, the exit costs and your next decision into one clear picture.

Calculate my exit cost ↗Read the field guide →

U.S. & Canada methodsNo signup to calculatePrintable decision plan

A CLEARER NEXT CHAPTER

01 Your current balance
02 Your contract’s exit terms
03 The cost of your next move

A penalty is one part of the exit.Principal, discharge charges and new-loan costs stay separate.

YOUR MORTGAGE EXIT WORKSPACE

U.S. mortgage prepayment penalty

Model a contract-supplied percentage or months-of-interest charge and the simple cost to refinance.

YOUR COST, MADE VISIBLE

Contract arithmetic, not a finding that a penalty is lawful or applies. No statutory limits are inferred. A full payoff may not permit annual privileges. Excludes accrued regular interest, escrow credits, yield maintenance and defeasance. Payment savings can reflect a longer term; simple break-even is not an economic recommendation.

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KEEP THE ALTERNATIVES IN VIEW

Your saved comparisons.

Up to four scenarios stay on this browser and edition. Download a portable copy. Saving does not send a request.

THE METHOD BEHIND THE NUMBER

Open assumptions.
Better questions.

Chargeable principal = prepayment less a confirmed applicable allowance, floored at zero. Before the entered contract window ends, apply the selected percentage or simple interest-month method. Add administration charges. Simple break-even includes new-loan costs.

Primary guidance ↗

YOUR NEXT STEP / MITEY U.S.

A number is a start.
Make the next step clearer.

Ask MITEY about the calculation, an assumption or how to organize your next decision. Choose whether to include your scenario.

01 · Your calculator stays free02 · Share only what you choose03 · No loan application or credit check

This is an educational enquiry. It is not a request for a lender quote, approval or regulated mortgage advice.

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TWO COUNTRIES / DISTINCT CONTRACTS

The details that change
your exit.

Start with a written payout quote.

01 / UNITED STATES

Find the actual penalty clause.

Not every mortgage has a prepayment penalty. Confirm the trigger, formula and time window. The model does not decide legality, apply statutory limits, or calculate commercial yield maintenance or defeasance.

CFPB primary guidance ↗

02 / CANADA

Separate term from amortization.

Months to renewal drive this simple IRD. The lender’s rate definitions and discount treatment matter. Actual compounding and present-value methods can differ from this approximation.

FCAC primary guidance ↗

03 / YOUR TAKEAWAY

Ask for a dated payout statement.

Confirm principal, charge formula, rate inputs, applicable privileges, expiry, accrued regular interest, discharge charges and cash-back clawbacks. Compare these with the new loan’s closing costs and repayment schedule.

Good questions before you act.

Does every U.S. mortgage have a penalty?+

No. Review the note, riders and disclosures. This tool does not determine legal applicability, exemptions or state and federal restrictions.

Which Canadian rate should I enter for IRD?+

Ask the lender for its two IRD rates and discount treatment. Posted, contract and adjusted comparison rates can differ.

Can I subtract my annual privilege before a full payoff?+

Only when the lender confirms it is usable for that transaction and date. Some contracts restrict privileges near discharge. The starting allowance is zero.

Does a short break-even prove a refinance is worthwhile?+

No. A lower payment can come from a longer amortization. Compare remaining debt, total interest, fees and your expected holding period.

Before you break.Know the cost.