Close: typically fix 5 year term. Penalty may apply when you terminate before the end of the term. $ h) G0 ^4 E6 y3 E) l4 r! ~1 X! Y* n( B8 Z- w, g' I
Open: typically up to 5 year term. No penaly and no restrication when you choose to terminate the mortgage. So the rate is typically higher.