Pre-Payment Charges

Pre-Payment Charges

Red Flag: charges for paying the mortgage off very very very early, charges for additional stuff like insurance coverage.

Loan providers generate income if they charge interest on the loan. This means each celebration has contending objectives: your incentive would be to spend the loan off early to truly save cash and their motivation would be to discourage early pay off or refinancing so that you pay just as much interest as you can. Continue reading “Pre-Payment Charges”