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The Save Now, Save Later® Mortgage offers a 1.50% discount off the 1 year closed term mortgage. The 1 year closed term mortgage as of June 13, 2008 was 6.55%. If there are no ‘cost of borrowing’ charges (for example, appraisal fees), the APR for the discounted rate of 5.05% equals 5.00% (compounded semi-annually, not in advance). Where a typical appraisal fee of $200 is assumed (actual appraisal fees may vary), the APR equals 5.20% (compounded semi-annually, not in advance), for a term of 1 year - assuming a mortgage of $100,000 with a 25-year amortization.
The Save Now, Save Later Mortgage offer also includes a guaranteed minimum 1.25% interest rate discount off the then 5-year posted rate if you renew or early renew to a 5-year fixed rate mortgage, with no early renewal interest or prepayment penalties. As of June 13, 2008, the 5-year posted rate was 7.15%. The APR for the discounted rate of 5.90% equals 5.83% (compounded semi-annually, not in advance) for a term of 5 years - assuming a mortgage of $100,000 with a 25-year amortization.
This offer cannot be combined with any other offers or promotions during the initial term or renewal term.
Contact your Scotiabank branch for additional details.
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