Keep in mind also that one may also simply create an excuse for your fey character to have gained some sort of free will. The books certainly imply that it is possible for a fey to alter their relationship with their court (though it doesn't say anything about altering their nature). It's not too tough to believe that one may find a way to give themselves a bit of mortalness.

I'm with sancta here. I have a really hard time with a punch altering how I see myself or the world (on its own anyway). And if you cause a consequence, someone needs to go to a councilor or psychiatrist to fix it? You have to admit that is a bit off.

I think you're over thinking the karmic debt thing. For now I would leave it as an aspect and let your GM compel you to create the effect you want.

As far as sponsored magic goes, I would only take it if you actually want the magic. Debt is not solely a function of sponsored magic, so if you want debt (but not evocation/thaumaturgy) then I would simply give yourself an aspect justification, and then make sure your GM is onboard with that.

I once created a outsider scion that had mainly powers like claws and strength and immunity to mortal magic, however the aspect connection to my father justified drawing power from him. It worked really well.

Having a forge as sponsored magic might be a little funny (in this particular case). I'd probably just use an aspect to represent it.

So from what I gather it seems like the block is the ideal solution, other than the fact that it isn't a long term concept.

I think the old adage "There's more than one way to skin a cat" is fairly appropriate here. If you want a short-term quickly applied solution, then a block is ideal. If you want to remove their ability over the long term deal physical stress (as you are physically striking them) and then find appropriate consequences (which can be invoked to prevent casting) when they are inflicted. At the most extreme case one could alter aspects as the result of a take out/concession.

I have to agree with the others about the sword. It's just too good of a hook to say no. Give him a nice sword and let it develop as he does.

As for the stunt, there are a few different things I would note. Firstly it's a bit weird that it works off of the character's lore when someone else is making it. I'd look to bag of tricks for the solution to that (and allow the thematics to guide the mechanics).

Secondly a stunt is usually only capable of providing two shifts of effect. This stunt could easily provide 8 or 10 shifts of effect (albeit in a bit more limited sense). To me that seems too powerful for a stunt. Heck it's more powerful than some equivalent powers (aquatic for example).

Lastly, you seem to be looking at refresh from only the mechanical side. When we have talked to Fred about refresh he talks about it from two sides. There is the mechanical side (mortals get a bonus because they don't get powers, characters with equivalent refresh should be equivalent, etc), but then there's the thematic side. Refresh is free will. Characters with less refresh have less choice in how they act. And by extension characters with more power have less choice. This character has more power. He is capable of powering enchanted items. From that side this character should not be eligible for the mortal bonus.

Check out the side bar ("The dark powers are always willing to help") on YS290. It talks about an external sponsor lending power (in the form of a fate point, good for two shifts of effect) in exchange for a future favor (in the form of a compel). In the case of star wars, you would replace the external sponsor with the dark side and the favor with some sort of compel to their darker nature. It works great for a well defined and temporary consequence (occasional slips and the like), while the aspect change and Lawbreaker powers are good for more permanent altering. I always felt the attitude made more sense for the dark side too, giving you more immediate power at a cost (which is always what the dark side is about, right?).

- As a pure mortal, you may want to keep another refresh or two free, or...

He's got seven free, do you think he needs more?

The reason I think you can add power without being held responsible for the effects is that Helen Becket still has a head.  There’s no way Morgan didn’t know what she was doing at the Victor Sells’ lake house.

At the time she wasn't a practitioner though. She wasn't adding her magic to the spell, she was assisting in meeting the complexity requirement.