Save Thousands off of your – IRD Discharge – IRD Penalty - IRD Settlement Ird discharge Fee Reduction, save on your IRD
What the banks don’t want you to know…..
Hidden Money!
- The majority of the B lenders that I have come across do not permit this option and perhaps it’s a time for a change, might I suggest TD CanadaTrust
- - Most major lending institutions allow a yearly pre-payment allowance on fixed/closed term mortgages. BMO allows up to 8% of the mortgage to be repaid, RBC allows 10% to be repaid and TD CanadaTrust allows 15% per year to be paid down.
- - Verify from your lender that this is on the ORIGINAL MORTGAGE AMOUNT. If you don’t and you have been aggressively paying down your mortgage using some of my other tips you will be burning those extra payments in seconds. For example;
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Original mortgage amount = $125,000 Current mortgage after two years = $ 115,000 15% pay down on current balance = $ 17,250 15% pay down on original balance = $ 18,750 |
Sample IRD Penalty Reduction and I mean sample/example/for discussion only/subject to change so please no fan mail
| Original mortgage amount = $125,000Current mortgage amount = $115,0005 year fixed term 5.94% - 3 ½ years remain-
IRD Before TDDave $4, 687
IRD After TDDave $3,450
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It is free, quick and painless. You must have access to the capital to pay down the amount, even using a LOC for the few days will cost you a fraction of the money you will save.
For other tips and tricks check out my website!
1 response so far ↓
Amr // July 29, 2009 at 2:49 pm |
***Another Trick****
Beside paying lump sum payment to reduce your penalty, there is another trick that worked with TD which reduced my penalty by 8-9%
Before discharging the mortgage, request to change the payment period to weekly payment and double the payment amount. Even if you didn’t really paid the mortgage amount, this will reduce the calculated interest that the bank would get during the remaining period, and this will reduce your IRD.
Just make sure the request the information statement about your new calculated IRD, some bank staff refuse to give it to you and others don’t mind.