Close: typically fix 5 year term. Penalty may apply when you terminate before the end of the term. 1 T. P1 w3 ~+ S3 L$ Q% V6 ~1 Y9 X) s# Q$ o( X; o4 a9 Y
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.