Sentences with phrase «prepayment penalty imposed»

Borrower is responsible for paying other financial institution fees and charges related to the existing loan (for example, payoff demand statement fee and / or a re-conveyance fee) as well as any prepayment penalty imposed by that lender.

Not exact matches

This isn't a comprehensive list of all online lenders, but here are the lenders on Fundera's business loan platform — and a note on whether they impose prepayment penalties on their borrowers.

Some mortgage lenders impose a prepayment penalty.

For instance, some loans come with a prepayment penalty that imposes a fee on the borrower if they pay their loan off early.

Mariner Finance does not impose a prepayment penalty for paying off a loan balance before the end of the term.

Most commercial banks impose a more favorable step - down prepayment penalty during the fixed rate terms

Prepayment penalty: A fine imposed on the borrower by the lender when the loan is paid off before it comes due.

In Canada, when a borrower prepays the full balance of his mortgage, the lender imposes a penalty that is equal to the highest of three months of interest; or an amount based on the differential between rate A, the rate in effect at the signing of the mortgage, and rate B, the rate in effect at the prepayment date.

Lenders may impose a lockout period, a yield maintenance provision or some other prepayment penalty, but borrowers should negotiate these provisions carefully.

Prepayment Penalty — Fee imposed by a lender for paying off a loan before a specified time.

For a closed - end credit transaction, prepayment penalty means a charge imposed for paying all or part of the transaction's principal before the date on which the principal is due, other than a waived, bona fide third - party charge that the creditor imposes if the consumer prepays all of the transaction's principal sooner than 36 months after consummation, provided, however, that interest charged consistent with the monthly interest accrual amortization method is not a prepayment penalty for extensions of credit insured by the Federal Housing Administration that are consummated before January 21, 2015.

For example, if a transaction is fully amortizing and the prepayment penalty is two percent of the loan balance at the time of prepayment, the prepayment penalty amount should be determined by using the highest loan balance possible during the period in which the penalty may be imposed.

Additionally, creditors may not recommend or encourage default on prior loans, impose large late fees, accelerate debt, finance prepayment fees or penalties, points, or fees or structure a loan to avoid such requirements.

The $ 3,000 that the creditor may impose to cover the waived bona fide third - party charges is not a prepayment penalty, but the additional $ 1,500 charge is a prepayment penalty and must be disclosed pursuant to § 1026.37 (b)(4).

For purposes of this paragraph (b)(4), «prepayment penalty» means a charge imposed for paying all or part of a transaction's principal before the date on which the principal is due, other than a waived, bona fide third - party charge that the creditor imposes if the consumer prepays all of the transaction's principal sooner than 36 months after consummation.

However, the term prepayment penalty does not include a waived bona fide third - party charge imposed by the creditor if the consumer pays all of a covered transaction's principal before the date on which the principal is due sooner than 36 months after consummation.