Hi,
Glad to find this forum, specificly for Canada.
Here, I need some professional ideas:
I signed a 5 year fixed 6% mortgage (posted rate is 7.50 at that time, I got 1.5% discount, very good at that time) two years ago with HSBC, a high ratio one, 10% down payment.
Now, the rate is low, so I like to change/cancel it. but the panalty is heavy!!
the panelty is not just 3 month interest. the panelty will be 36 month interest difference: 7.5% - 5.8% = 1.7%. ends up over 10K.
Now I am having bellow questions and thoughts:
is that over 10K panelty reseanable? (by the mortgage contract is it lawful, but I assume bank should be flexible.)
Any suggestions that I can cancel the mortgage without paying over 10K penalty?
I appreciate any feed in, thanks!
Glad to find this forum, specificly for Canada.
Here, I need some professional ideas:
I signed a 5 year fixed 6% mortgage (posted rate is 7.50 at that time, I got 1.5% discount, very good at that time) two years ago with HSBC, a high ratio one, 10% down payment.
Now, the rate is low, so I like to change/cancel it. but the panalty is heavy!!
the panelty is not just 3 month interest. the panelty will be 36 month interest difference: 7.5% - 5.8% = 1.7%. ends up over 10K.
Now I am having bellow questions and thoughts:
is that over 10K panelty reseanable? (by the mortgage contract is it lawful, but I assume bank should be flexible.)
Any suggestions that I can cancel the mortgage without paying over 10K penalty?
I appreciate any feed in, thanks!