Prepayment Penalty
A charge imposed on a borrower who pays off the loan principal early. This penalty compensates the lender for interest and other charges that would otherwise be lost.
Real Estate Glossary
Definitions of Common Real Estate Terms
Real Estate Glossary
Definitions of Common Real Estate Terms
A charge imposed on a borrower who pays off the loan principal early. This penalty compensates the lender for interest and other charges that would otherwise be lost.
