4. Consider just selling them and paying the 5%. B share mutual funds are among the most expensive investments to hold even if you hold it for 7 years. They usually have high management expenses plus 12b-1 fees upwards of 1%. If you sell now, eat the 5%, and buy a similar no-load fund without a 12b-1 fee you could be saving 1% (maybe even more on other expenses to) each year, compounded, over the next 5 years. Those high expenses are and will continue to destroy your earnings anyway.
You can look at this as the opportunity cost
associated with keeping your current investment. You have money that could theoretically be used for higher returns.