What Are Posted Mortgage Rates?

You may have seen the term posted rate when looking at mortgage options—but what does it actually mean? Unlike the rate you actually get on your mortgage, posted rates are the rates lenders use when calculating certain penalties, particularly Interest Rate Differential (IRD) penalties.

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How Posted Rates Affect Your Mortgage Penalty

If you decide to break your mortgage early—whether to refinance, sell, or make other financial moves—your lender may calculate your penalty based on the difference between your posted rate and current market rates. The problem? Posted rates are often much higher than real market rates, leading to huge penalties for borrowers.

What You Can Do to Avoid Overpaying

Before making any mortgage changes, know what you’re up against. Lenders don’t always make penalty calculations clear, but a mortgage broker can help you understand your options and possibly save you thousands in unnecessary fees.

If you’re looking to get pre-approved for a mortgage to buy a property in Edmonton, fill out my online application. I’m here to help you every step of the way.

About Jason Scott, Edmonton Mortgage Broker

Looking for a personalized mortgage solution? As an Edmonton Mortgage Associate, I’ll be your trusted partner who will help you get the right mortgage for your family home or Investment property. I’m Jason Scott, and I’ll be your Mortgage Broker in Edmonton.