Break Fee

A break fee (also known as an 'early repayment fee', a 'discharge fee' or a 'termination fee') applies when you repay part or all of your fixed-interest rate home loan before the fixed rate period has ended.

If the home loan is on a fixed interest rate, lenders will generally allow a borrower to repay up to 5% of the principal amount each year without having to pay a break fee.