Head to head · Scotiabank vs National Bank
Scotiabank vs National Bank mortgages: rates, prepayment, penalties and HELOCs compared
Short answer: Only National Bank publishes a 5-year special (5.14%) as of November 2, 2026. On the same $480,000 mortgage broken 30 months early after rates fall a point, Scotiabank charges about $5,120 less. Scotiabank gives more lump-sum room (20% vs 10%). Neither wins everything, so get both quotes.
Scotiabank and National Bank compared on the terms that cost or save you money, from each bank’s own pages: which of the two fits which borrower. No ranking, no paid placement.
Bank pages checked November 2, 2026
Only National Bank publishes a 5-year special rate (5.14%).
Scotiabank (10%, 15% or 20% by option vs 10% a calendar year).
Scotiabank publishes no fixed special rate, so we price the same existing mortgage instead: Scotiabank costs less to leave 30 months early if rates fall a point ($22,080 vs $27,200).
Scotiabank gives more room: Scotiabank up to 6 months; National Bank up to 4 months.
Scotia Total Equity Plan (STEP) vs National Bank All-In-One: the limits and structure are in the HELOC row of the term sheet below.
National Bank for a smoothly declining penalty; Scotiabank for a 6-month early renewal. Then take Scotiabank’s written offer to National Bank, or the other way round, and ask them to match it on the same term.
Term sheets side by side
| Scotiabank | National Bank | |
|---|---|---|
| 5-yr special / posted | — / 6.19% | 5.14% / 6.14% |
| Prime used | Scotiabank Prime 4.70% | National Bank prime 4.70% |
| Prepayment | 10%, 15% or 20% of the original principal a year, depending on the options chosen. | 10% of the principal a calendar year, plus an extra payment up to your regular payment on each payment date. |
| Fixed-rate penalty | Greater of 3 months’ interest or IRD vs Scotiabank’s posted rate for the closest term, less your discount. Variable: 3 months’ interest. | Higher of 3 months’ interest or 1 month’s interest (max $500) plus the interest differential. Variable: 3 months’ interest. |
| Portability | Listed as a way to avoid charges; not available on every mortgage solution. | Rollover Mortgage: balance, rate and term move to a new National Bank mortgage for your next home, and the prepayment charge is recovered; no window stated. |
| HELOC | STEP: up to 80% (65% revolving); the 80% global limit steps down to 65% over 25 years. | All-In-One: line of credit up to 65%, up to 80% with a mortgage; $7/month per account. |
| Early renewal | Up to 6 months early, no prepayment charge. | Renew up to 4 months early with no penalty; protect a rate from 6 months out. |
Posted and special rates by term
| Term | Scotiabank special | Scotiabank posted | National Bank special | National Bank posted |
|---|---|---|---|---|
| 1-year | — | 5.49% | 5.49% | 5.49% |
| 2-year | — | 5.24% | 5.19% | 5.24% |
| 3-year | — | 6.05% | 5.09% | 6.09% |
| 4-year | — | 6.09% | 5.09% | 6.05% |
| 5-year | — | 6.19% | 5.14% | 6.14% |
| 6-year | — | — | — | 6.40% |
| 7-year | — | 6.40% | 5.34% | 6.40% |
| 10-year | — | 6.80% | — | 6.80% |
Worked example: the same mortgage at Scotiabank and at National Bank
You owe $480,000 on a $500,000 5-year fixed at 5.29%, signed when the posted 5-year rate was 6.89% (a 1.60-point discount). There are 30 months left and you need to sell without porting. The payment, about $3,064.75 a month, is the same at either bank; what differs is the exit.
| Scotiabank | National Bank | |
|---|---|---|
| Compares with | 3-yr posted | 2- and 3-yr rates, interpolated for 30 months |
| Comparison rate after discount | 4.45% | 4.07% |
| 3 months’ interest | $6,348 | $8,268 |
| Penalty if you break now | $10,080 | $15,200 |
| Penalty if posted rates fall 1 point first | $22,080 | $27,200 |
| Most lump-sum room stated, on the original amount | $100,000 | $50,000 |
| Penalty after using this year’s lump sum first | $7,980 | $13,669 |
| Porting | Listed as a way to avoid charges; not available on every mortgage solution. | Rollover Mortgage: balance, rate and term move to a new National Bank mortgage for your next home, and the prepayment charge is recovered; no window stated. |
Where Scotiabank and National Bank differ most
- Breaking the same mortgage after rates fall a point costs $5,120 more at National Bank ($27,200 vs $22,080): Scotiabank compares with its 3-yr posted rate and National Bank with its 2- and 3-yr rates, interpolated for 30 months rate.
- Which bank is cheaper to leave depends on when you leave: across the term the lead changes hands. The gap is widest with 30 months left: $9,956 at Scotiabank (3-yr posted) vs $15,018 at National Bank (2- and 3-yr rates, interpolated for 30 months).
- Prepayment room differs by $50,000 a year on a $500,000 mortgage (Scotiabank 10%, 15% or 20% by option, National Bank 10% a calendar year).
National Bank for a smoothly declining penalty; Scotiabank for a 6-month early renewal.
Scotiabank’s IRD jumps when the closest term changes; National Bank’s slides, because it interpolates and adds a month’s interest (up to $500). National Bank posts specials for most terms; Scotiabank posts none for fixed terms. On re-borrowing, STEP’s global limit steps down from 80% to 65% over 25 years, while National Bank’s All-In-One keeps the line at up to 65% (80% with a mortgage) and charges a monthly account fee.
Ask: Ask Scotiabank whether porting is available on the solution you’re offered, and National Bank about the timing of its Rollover Mortgage refund.
When would breaking cost less at Scotiabank or at National Bank?
The same $500,000 mortgage, broken at five points in its 5-year term (balance paid down on schedule, today’s posted tables). Each bank’s comparison term changes at different months, so the gap opens and closes:
| Months left | Scotiabank penalty | National Bank penalty | Scotiabank compares with | National Bank compares with |
|---|---|---|---|---|
| 54 | $15,595 | $18,212 | 5-yr posted | 4- and 5-yr rates, interpolated for 54 months |
| 42 | $13,576 | $14,415 | 4-yr posted | 3- and 4-yr rates, interpolated for 42 months |
| 30 | $9,956 | $15,018 | 3-yr posted | 2- and 3-yr rates, interpolated for 30 months |
| 18 | $11,452 | $11,085 | 2-yr posted | 1- and 2-yr rates, interpolated for 18 months |
| 6 | $5,961 | $7,764 | 1-yr posted | 1-yr rate |
Who feels the difference between Scotiabank and National Bank?
The aggressive pre-payer: $100,000 a year at Scotiabank vs $50,000 at National Bank
Take a $500,000 5-year fixed at 5.29% at either bank and put the largest lump sum each bank states into it at every anniversary. At Scotiabank (10%, 15% or 20% by option) you’d have paid it off before renewal, paying $67,523 in interest over the five years; at National Bank (10% a calendar year) you’d owe $166,253 at renewal, paying $95,720. Without lump sums you’d owe $444,528. Kept up, Scotiabank’s room would clear the mortgage in about 4.8 years against 7.3 at National Bank. Most people won’t prepay this hard; if you will, this is the clause to choose on.
The early renewer: how soon you can lock in
With a 2027-06-30 maturity, Scotiabank would let you renew from about 2026-12-30 (up to 6 months) and National Bank from about 2027-02-28 (up to 4 months). If rates are rising, the earlier window is worth having; if they’re falling, you can wait at either. Neither bank charges a penalty for renewing inside its window.
The mover who can’t port: Scotiabank or National Bank, month by month
Selling with 54 months left would cost $15,595 at Scotiabank and $18,212 at National Bank, so Scotiabank is the cheaper exit early in the term; with 6 months left it’s $5,961 against $7,764, and Scotiabank is cheaper. Waiting from 54 to 6 months left saves $9,634 at Scotiabank and $10,447 at National Bank. If you might sell mid-term, porting beats both: see the porting row in the term sheet above and ask each bank for its window in writing.
Scotiabank penalty calculator · National Bank penalty calculator · prices your own numbers.
A brand-new mortgage at each bank, broken after two years
A new 5-year fixed for $450,000 at each bank’s own 5-year special, discounted from its own posted rate, broken after 24 months. People usually break when rates have fallen, which is when the IRD bites, so we show both cases:
| Scotiabank | National Bank | |
|---|---|---|
| Starting rate (5-yr special) | — | 5.14% |
| Discount from posted | — | 1.00 pts |
| Comparison rate after discount | — | 5.09% |
| 3 months’ interest | — | $6,908 |
| Penalty, posted rates unchanged | — | $6,908 |
| Penalty, posted rates 1 point lower | — | $14,675 |
Uses each bank’s published rule (see methodology); balance kept at $450,000 for a like-for-like comparison. “—” means the bank publishes no 5-year fixed special to start from (Scotiabank posts none; its specials are variable). Price your own mortgage in the penalty analyzer.
Bring Scotiabank’s written offer to National Bank (or the other way round) and ask them to beat it on the same term. Then compare the penalty clause, because that’s where these two differ most.
Scotiabank vs National Bank: questions
Is Scotiabank or National Bank better for a mortgage?
Neither wins on everything. National Bank for a smoothly declining penalty; Scotiabank for a 6-month early renewal. Only National Bank publishes a 5-year special (5.14%) as of November 2, 2026. On the same $480,000 mortgage broken 30 months early after rates fall a point, Scotiabank charges about $5,120 less. Scotiabank gives more lump-sum room (20% vs 10%). Neither wins everything, so get both quotes.
How do Scotiabank and National Bank calculate prepayment penalties?
Both charge the greater of 3 months’ interest or an IRD on a closed fixed mortgage, and 3 months’ interest on a variable. On the same mortgage with 30 months left, Scotiabank compares with its 3-yr posted rate and National Bank with its 2- and 3-yr rates, interpolated for 30 months rate, giving $10,080 at Scotiabank and $15,200 at National Bank. Each bank’s wording is on its profile: Scotiabank, National Bank.
Is it cheaper to break a mortgage at Scotiabank or National Bank?
It depends on when. For the same $500,000 5-year fixed at 5.29% (posted 6.89% at signing), with 54 months left Scotiabank $15,595 vs National Bank $18,212; with 42 months left Scotiabank $13,576 vs National Bank $14,415; with 30 months left Scotiabank $9,956 vs National Bank $15,018; with 18 months left Scotiabank $11,452 vs National Bank $11,085; with 6 months left Scotiabank $5,961 vs National Bank $7,764. Your own figure depends on your rate, discount and balance: try the penalty analyzer.
Can I switch from Scotiabank to National Bank at renewal?
Yes. At maturity there is no prepayment penalty, and since November 21, 2024 a straight switch with the same amount and amortization no longer needs a new stress test. The new bank may cover legal and appraisal costs; your current bank may charge a discharge fee. See the renewal checklist.
Sources
- Mortgage rates — Scotiabank, checked Nov 2, 2026
- Mortgage rates — National Bank, checked Nov 2, 2026
- What you need to know: mortgages and mortgage prepayment charges (PDF) — Scotiabank, checked Oct 31, 2026
- Pay off your mortgage faster (prepayment and charges) — National Bank, checked Oct 31, 2026
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