Some mortgages include a cash award. Of course the rate is higher and you must repay the

amount of the cash rebate equal to the number of months between the time you break the mortgage contract and the end of the term.

ExampleYou have received a discount of 4% of your mortgage is $ 200 000 $ 8 000. You repay the mortgage contract 30 months later (on a 5-year or 60 months), you will repay 31/60e the penalty (there is 31 months between the 30th and the 60th payment on a payment term of 60 months total). The calculation is $ 8 000 times (x) 31 divided (÷) by 60 and equal to $ 4,133.33, the amount of reimbursement of the discount.

Yes, the repayment of the cash back is added to the penalty which may drastically increase the total amount.