« Back to Glossary Index
A closed mortgage cannot be repaid or refinanced without penalty until the end of its term.
The amount of extra payments made towards a closed mortgage in any given year typically cannot exceed the lender’s limit, which usually ranges from 10% to 25% of the original mortgage balance per year. Otherwise, a penalty applies.
See also: Open mortgage
« Back to Glossary Index![compare button](https://www.ratespy.com/wp-content/themes/ratespy-v2/img/btn_compare_mortgage_rates.png)