Metaglossary.com - Definitions for "{term}"

Keywords: prepay, penalty, incurred, maybe, breakage

THE PAYING OFF OF ALL OR PART OF THE PRINCIPAL SEPARATE AND APART FROM PAYMENTS CALLED FOR UNDER THE MORTGAGE AGREEMENT.

The right to prepay a specified amount of the principal balance. Penalty interest may be incurred on repayment options.

The right to prepay all or portion of the principal balance. Prepayment charges may be incurred on the exercise of prepayment options.

Keywords: clause, lets, repay, maturity, agreement

A clause in the mortgage agreement that lets you repay all or part of the mortgage before the maturity date.