Personal Finance

Mortgage Discharge on New House?

  • Last Updated:
  • Dec 8th, 2018 1:03 pm
Dec 7, 2018
1 posts

Mortgage Discharge on New House?

Looking for some advice on mortgage discharge fees and whether this is a "grab" or legit fee...

We just bought a new house (and sold our old, less expensive one with the same closing date). We are keeping our same lender (RBC) but require a bigger mortgage. I got them to waive the appraisal on the new house but they are charging me a discharge fee of $375. I'm curious as to whether this is worth disputing or if it's a legit fee. I figured since I'm keeping the same lender, not to mention increasing the borrowed amount they might be trying to gouge me. On the other hand I am changing properties. Any advice would be greatly appreciated. TIA.
3 replies
Deal Fanatic
User avatar
Nov 19, 2004
8587 posts
Cambridge, ON
Discharge fees are normal. Stated in your mortgage agreement.

That said, I would have asked them to waive it considering you are staying with them. Whether they agree or not is another story.
Deal Fanatic
User avatar
Jan 27, 2007
5035 posts
Yeah, they wont waive it, but could give you equal value in something else.
Sr. Member
May 16, 2017
705 posts
The discharge fee is to remove the mortage on the title on the old house. The removal is a legal act that should be done, however what the lender charges varies substantially by Province because land title registry fees are a provincially regulated matter. In BC it is capped at $75 for a discharge.