Rate Analysis is the tab a candidate opens on. It answers three questions in order: what would breaking early cost, what's the best replacement, and what does the client actually keep once fees and the penalty are accounted for.
Watch Mandric walk you through this topic
7:49The Penalty Result
The penalty shown is the greater of two figures: three months' interest, or an interest rate differential (IRD) calculation. BrokerPlus runs both and keeps whichever is larger, since that's what the client would actually owe. A flag on the loan panel warns you when the lender is unrecognized or unsupported, because the penalty then falls back to a generic estimate rather than that lender's real formula.
Interest Rate Differential Against Three Months of Interest
The IRD side depends on a comparison rate, and lenders don't all derive it the same way: some subtract your original discount from a current posted rate, some use posted rates at signing versus today, some use a reinvestment rate, others a bond yield. The explainer modal names which method applied here. For the full math, see Understand Interest Rate Differential Math; for how lenders differ, see Lender-Specific Penalty Rules.
Overriding a Penalty or Its Method
Open the penalty explainer to override the original discount or the comparison rate when you know a number the feed doesn't. You can also pin the penalty to a specific method, three months' interest or IRD, but the pin only takes effect when it would genuinely have driven the result. A pin onto a leg that computes to zero, common on variable, monoline, or a mortgage past the five-year Interest Act cap, is quietly ignored rather than misquoted.
The Best Option Card
The best option card shows the replacement product BrokerPlus recommends, with the star to favourite that lender and the pin icon to lock this option in place so recalculations don't move it. Both the rate and, for variable products, the prime offset are editable inline. A breakeven rate line shows the new rate at which the client's net savings hit zero, useful when you're negotiating rather than just quoting.
Financing the Penalty or Paying It
Toggle whether the client rolls the penalty into the new balance or pays it out of pocket. The two paths lead to different balances at renewal and different net savings, and the card recalculates both live as you switch. Which one makes sense usually comes down to whether the client has the cash on hand and how it changes the breakeven rate.
Previewing and Sending the Comparison
The refinance report pulls in the best option, your ranked alternatives across other lenders, and the switch fees and penalty as currently configured, so what you preview matches what the client receives. You can drop sections you don't want in the send. Use Review an Opportunity Candidate if you need the rest of this workspace first, since the rail beside this tab is what these figures are measured against.
What to Do Next
- Why a Lender Was Recommended to see the rule behind the best option.
- Understand Interest Rate Differential Math for the full IRD formula.
- Lender-Specific Penalty Rules for how individual lenders compute their comparison rate.
- Review an Opportunity Candidate to see this figure in context with the rest of the workspace.