Refixing or refinancing? What is the difference

4 October 2026

When your fixed rate ends, you have two options. Stay with your bank at a new rate, or move the mortgage elsewhere. The two terms are often confused, here is the difference.

Refixing

You stay with the same bank and only a new rate is set for the next period. The bank sends you an offer before the fixed period ends. If you do nothing, the offered rate usually applies. It is the simplest option with minimal paperwork.

Refinancing

You repay the mortgage with a new loan, most often at another bank. The new bank assesses everything again: income, property, credit registers. Expect a property valuation, registration of the new lien in the land registry and often new insurance. It takes weeks.

You can also refinance at the same bank, for example to borrow more or change the terms.

When it is free

• At the end of the fixed period you can move or repay the mortgage without a penalty.
• Within three months of being notified of the new rate as well.
• During the fixed period you can repay up to 25 % of the loan free of charge once a year around the contract anniversary. Otherwise, under the rules in force since 1 September 2024, the bank may charge at most 0.25 % for each started year until the end of the fixed period, at most 1 % in total.

How to decide

• Compare your bank's offer with what others offer. Without comparing, you don't know whether it is good.
• Count the cost of moving too, not just the difference in rate.
• Start six months ahead. Moving to another bank can't be done in a few days.
• When refinancing, the new term usually may not be extended beyond the original one, as recommended by the CNB.

More on what to do in advance is in Is your fixed rate ending?

This article is general and educational, not a loan offer or a recommendation of any product. Terms differ by bank. Figures as of October 2026.