10 October 2025 | Publication
Fixed-rate mortgages and early
termination
10 October 2025 | Publication
Fixed-rate mortgages and early
termination
Ticino Management, October 2025 Newspaper
Andrea Ziswiler and Rocco Rigozzi provided an overview with respect to the financial consequences when a fixed-rate mortgage has been terminated by the borrower prior to its ordinary termination date. Banks are generally requiring borrowers in such instances to pay a contractual penalty for early termination, which can be particularly significant depending on the circumstances. Although courts could reassess these penalties, they are generally reluctant to do so.
Andrea Ziswiler and Rocco Rigozzi provided an overview with respect to the financial consequences when a fixed-rate mortgage has been terminated by the borrower prior to its ordinary termination date. Banks are generally requiring borrowers in such instances to pay a contractual penalty for early termination, which can be particularly significant depending on the circumstances. Although courts could reassess these penalties, they are generally reluctant to do so.
