Calculator IRD Penalty
Calculate your Interest Rate Differential (IRD) penalty for breaking a fixed mortgage early. Shows the penalty amount, breakeven timeline, and whether switching lenders actually saves you money.
IRD Penalty Calculator
Calculate your Interest Rate Differential (IRD) penalty for breaking a fixed mortgage early. Shows the penalty amount, breakeven timeline, and whether switching lenders actually saves you money.
IRD Penalty
$16,500
3 Months Interest
$6,363
Actual Penalty
$16,500
Penalty Type
IRD
Monthly Savings
$458
Breakeven
36
Net Savings/Loss
$0
This uses a simplified IRD formula. Big 5 banks use a posted-rate formula that typically produces a higher penalty. Request the exact calculation from your lender before making a decision.
All calculations use Canadian semi-annual compounding per the Bank Act. These results are estimates for educational purposes only and do not constitute financial advice. Speak with a licensed mortgage broker for advice specific to your situation.
API Access for Developers & AI Agents
This calculator is available as a free JSON API. AI agents, chatbots, and developers can send mortgage data and get instant results.
POST /api/calculate/ird-penalty
{
"balance": 500000,
"contractRate": 5.09,
"currentRate": 3.99,
"monthsLeft": 36
}
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Open →This uses a simplified IRD formula. Big 5 banks use a posted-rate formula that typically produces a higher penalty. Request the exact calculation from your lender before making a decision.