The penalty charge where the outstanding mortgage is £80,000 at a rate of 8.5 per cent with two years of a five-year term left.

AIB: £50 penalty plus the difference between the fixed rate and the new rate applied to the amount outstanding on loan for the residual period of fixed contract, with credit given for the reducing balance - £2,895.

Bank of Ireland: Three months interest or, if greater, the amount calculated by the bank of all losses, costs and expenses arising from breaking the fixed contract - £6,131.

Irish Permanent: The lower of half the interest the mortgage holder would have paid over the remaining term of the fixed period, or, the difference between the interest the bank could earn by investing the outstanding balance in Government bonds for the outstanding term and the interest foregone on the fixed mortgage - £6,080.

First National: Six months interest on outstanding balance - £3,400.

EBS: Three months interest on one- or two-year fixed-rate mortgages, six months interest on three- four- or five-year mortgages and 12 months interest on 10-year mortgages - £3,400.

TSB Bank: The difference between the fixed mortgage rate and the rate the bank could now charge for a similar fixed-rate mortgage applied to the outstanding mortgage balance for the outstanding period of the fixed term - £2,000.

Irish Nationwide: Six months interest based on outstanding balance at the end of the previous year - £3,400.

What to do

Get advice.

Do the sums: Is it worth breaking the contract? The penalties will sometimes outweigh the gains from moving to a lower rate.