Flexible Mortgage Payment Features
TD mortgages have flexible payment options and can help you prepare for the unexpected. Whether you’re having a baby, taking a sabbatical, or your financial needs grow and change with time, a TD mortgage offers a range of flexible features to suit you.
Speed it up.
Increase your payment.
What is a prepayment?
Want to know how a prepayment is different from a principal and interest payment? A prepayment is a lump-sum payment of any amount in addition to regular scheduled payments. Like it sounds, prepayment means paying your debt down early.
Whether you make one or multiple lump-sum payments, a mortgage prepayment on the principal amount leaves you with a smaller debt, and over time, less interest to pay.
Check your terms. Closed term mortgages often have clauses to define how much you can prepay and how often. Paying more than your mortgage loan agreement specifies might result in charges. An open mortgage is structured to allow prepayments anytime, in any amount, without charge.
Benefits. Prepayments are a great way to reduce the amount of interest you'll pay overall. The quicker you pay your principal, the less interest you pay. So if you can make a lump-sum prepayment, you're ahead of the game.
When it makes sense. Prepayments are a great idea. It's also a great option if you earn a commission or a yearly bonus. If you are free of debt, have an emergency fund, and are a regular contributor to your retirement savings plan, then mortgage prepayment is the next step to consider.
Mortgage Calculators and Tools
Flexible Mortgage Payment Features Calculator
Try different flexible payment features to manage your mortgage and save.
Determine the cost of prepaying some or all of your outstanding mortgage balance.