What is the RenewalRate.ca offer-completeness checklist?

A review of what your renewal letter should include but may not: prepayment privilege percentage, blend-and-extend availability, portability if you move, collateral charge flag, posted-versus-negotiated rate distinction, early renewal terms, and IRD calculation method disclosure. An offer that omits these is structurally weaker than one that includes them all, even at the same rate.

What's a competitive 5-year fixed rate in 2026?

As of late April 2026, broker-channel five-year fixed rates currently sit in the 4.04 to 4.29 per cent range, with insured rates lower than uninsured. Posted rates at major banks run higher. The calculator's market comparison uses the lower end of this range as a benchmark; check Ratehub or a mortgage broker for rates tailored to your file.

Renewal Letter Calculator: Decode Your Bank's Offer (Canada, 2026)

Q: Is my bank's renewal offer rate negotiable?

Almost always. The rate on a renewal letter is a starting position, not a final offer. Federally regulated lenders are required to provide renewal terms at least 21 days before maturity under sections 45 and 46 of the Financial Consumer Protection Framework Regulations (SOR/2021-181), made under the Bank Act and in force since June 30, 2022, but they are not required to provide their best rate up front. Bringing a competing quote from a mortgage broker or another lender into the conversation typically moves the offer on competing-quote pressure, sometimes more on larger balances.

Your offer is 75 basis points above market. Late April 2026 broker-channel five-year fixed rates run roughly 4.04 to 4.29 per cent. Your letter's 4.79 per cent is materially higher than what brokers are quoting on comparable files.

How does the math work?

Canadian fixed-rate mortgages compound twice a year by convention (Interest Act, RSC 1985, c. I-15, s. 6). Borrowers pay monthly. The calculator converts the offered annual rate to an effective monthly rate using ((1 + r/2)^2/12) − 1, then runs a standard amortisation payment over the remaining years.

Market rate comparison uses 4.04 per cent as the late-April 2026 benchmark for broker-channel five-year fixed insured rates, captured from Ratehub's Big 5 Bank Mortgage Rates page (Best market rate row) on April 29, 2026. Actual market rates fluctuate weekly and vary by lender, file quality, insured status, and amortisation. The benchmark is a reference point, not a quote.

Nothing entered here is transmitted, logged, or saved. The arithmetic runs in your browser. Refresh the page and the inputs are gone.

What is the 8-item offer-completeness checklist?

Tick what's explicitly in your renewal letter. If your bank's offer doesn't say it, it doesn't exist. The checklist is RenewalRate.ca's framework for distinguishing a complete offer from a thin one at the same rate.

Prepayment privilege percentage stated

A specific number (10%, 15%, 20%). "Prepayment options available" without a number is not a commitment.

Blend-and-extend availability

Whether you can blend your rate with a new term if rates drop. Most banks offer this; few mention it.

Portability if you move

Mortgage moves with you to a new home without breaking the term. Critical if relocation is possible.

Charge type stated (collateral vs conventional)

Collateral charges (some lenders default to this) add legal and registration cost on the way out, on top of the FCAC-published professional-fee range of $400 to $2,500 for a discharge.

Posted vs negotiated rate distinguished

A letter that quotes one rate is hiding the spread. The posted rate is the benchmark; the negotiated rate is what you pay.

Early renewal terms stated

Most Big Six lenders allow penalty-free renewal somewhere in the 90 to 180 day window before maturity (RBC and Scotia commonly 120 days, BMO often 130; confirm yours in writing) but they rarely volunteer it.

IRD calculation method disclosed

If you break the term, IRD varies materially by lender. Big Six use posted-rate methodology. The letter should reference how it's calculated.

Skip-a-payment provisions

Whether you can pause a payment without penalty. Useful for unexpected income disruption.

Tick the items in your offer letter.

A complete offer includes all 8 items. Most bank renewal letters include 2 to 4. The gap between a complete and incomplete offer is often the most expensive part of a renewal, dollar-for-dollar.

Before signing the renewal letter, see what other lenders would offer on the same file. Compare live rates from 30+ lenders →

A complete offer at market rate is the goal.

Your bank quoted one rate with limited terms. A licensed Canadian mortgage brokerage can put the same file against thirty or more lenders and run the offer-completeness checklist against each one. Homewise is an Ontario-based FSRA-licensed brokerage that handles the comparison through a short online application. Free to the borrower; the brokerage is paid by the lender on funded files.

Get a complete-offer comparison from Homewise →

Affiliate link. RenewalRate.ca earns a commission if your mortgage funds through Homewise. This does not change the rate or fees offered to you. Homewise is an FSRA-licensed mortgage brokerage (licence #12984).

What do readers commonly ask?

Is the offered rate negotiable?

Almost always. The renewal letter is an opening offer. Federally regulated lenders are required to provide renewal disclosure at least 21 days before maturity under sections 45 and 46 of the Financial Consumer Protection Framework Regulations (SOR/2021-181), made under the Bank Act and in force since June 30, 2022. They are not required to lead with their best rate. Bringing a competing quote into the conversation typically moves the offer on competing-quote pressure, sometimes more on larger balances.

Does this calculator save my data?

No. All math runs in your browser. Nothing is sent to any server, saved to any database, or shared with any third party.

What's a collateral charge mortgage and why does it matter at renewal?

A collateral charge is registered against the property for an amount higher than the mortgage itself, allowing the lender to lend additional funds without re-registering. TD, Tangerine, and several credit unions register collateral charges by default. Switching to another lender at renewal requires a full discharge and re-registration. FCAC publishes that professional fees for a discharge typically run $400 to $2,500; a conventional charge can usually be transferred for free or at a minimal fee. The completeness checklist flags whether your offer mentions this.

Whose advice should you trust on this?

The calculator above runs Canadian semi-annual compounding correctly. What it cannot do is run your specific file through a real lender's underwriting and bring back a written rate commitment. For that step, Homewise (FSRA #12984) is a Canadian licensed brokerage that quotes multiple lenders online. RenewalRate.ca earns a commission on funded mortgages routed through Homewise.

Affiliate disclosure. RenewalRate.ca earns a commission when a reader is funded on a mortgage routed through Homewise Solutions Inc. (FSRA #12984). The commission is paid by Homewise on funded transactions and disclosed inline at the partner CTA. Editorial independence is governed by our editorial policy.

About the author. Omar M.S. Hamed is the founder of O.MS.H Media Inc. (operating as ohms.marketing), a performance marketing firm in Ancaster, Ontario. He is not a licensed mortgage broker. The calculator and framework above are sourced from primary regulatory and lender documentation; for a recommendation on your specific file, consult a FSRA-licensed mortgage agent. LinkedIn.

Methodology last reviewed: May 5, 2026. How we verify every claim.

Your bank just sent the renewal letter. Now decode it.

Renewal letter decoder