12 August 2011
It should be noted that in some cases a lender may process your request for 5-6 business days. And only after that your penalty will be locked in. Meanwhile, consumer-friendly lenders tend to do it right away at the date you send your discharge request.
Another thing to pay attention to is that typically IRD applies only to closed fixed mortgages, but there are lenders who also use it for variable-rate mortgages. That’s why if you’re planning to break your mortgage agreement, please, consult a professional mortgage broker in order to find out how you can reduce your penalty.