Refinancing Fixed to Variable — Should You Break Your Fixed Rate?

Breaking a fixed rate loan to switch to variable involves paying break costs, which can range from zero to tens of thousands — always model the total cost before deciding.

Is it worth breaking my fixed rate to get a lower variable rate?

It depends on the break cost vs the monthly saving from the lower variable rate. If you can recover the break cost within 12–18 months of savings, it may be worthwhile — especially with a large offset account.