Warning

Info

Warning

Info

Warning

Info

LSDefine

Simple English definitions for legal terms

prepayment clause

Read a random definition: Child Support Recovery Act of 1994

A quick definition of prepayment clause:

A prepayment clause is a part of a loan agreement that allows the borrower to pay off the debt before the due date without any penalty. This means that the borrower can save money by paying off the loan early.

A more thorough explanation:

A prepayment clause is a provision in a loan document that allows a borrower to pay off a debt before its due date without any penalty. This means that the borrower can pay back the loan early without having to pay extra fees or charges.

John took out a loan to buy a car. The loan agreement had a prepayment clause that allowed him to pay off the loan early if he wanted to. After a few months, John received a bonus at work and decided to pay off the loan in full. Because of the prepayment clause, he was able to do so without any penalty.

The example illustrates how a prepayment clause can benefit a borrower by giving them the flexibility to pay off their debt early without any additional costs.

prepaid interest | prerogative

Warning

Info

General

General chat about the legal profession.
main_chatroom
👍 Chat vibe: 0 👎
Help us make LSD better!
Tell us what's important to you
THATS SO FUNNY
i cant i would go crazy
JumpySubsequentDolphin
20:50
i need to know who decided to do that.
JumpySubsequentDolphin
20:50
omg im on a plane weeeee
the devil
youre on a plane??? LSD made the mile high club??
20:50
yo splitterus are you in school already
20:50
it says ur c/o 2027
JumpySubsequentDolphin
20:51
@SplitterusClitterus: HAHAH yes
ur user is hilarioussss and no i just graduated this may and am now applying ---also im out of messages so ill take a lil
20:52
roger dat. see u in heck
im back, r u applying this cycle too
JumpySubsequentDolphin
21:32
this child fell asleep on me
JumpySubsequentDolphin
21:32
im so uncomfortable
just push him off the entire seat
JumpySubsequentDolphin
21:34
LMAOOOO
JumpySubsequentDolphin
21:35
no he’s literally like 8 and he fully just put his head on my bicep and slept
JumpySubsequentDolphin
21:35
he has since moved
22:12
@SplitterusClitterus: me yesterday
gulc baby pls text me back... i miss you ...... :(
22:23
i just went into a discord vc and yelled "YALL I JUST GOT INTO J.M. SCHOOL OF LAW"
22:24
people were getting excited :sob:
22:25
then someone was like "what does jm stand for" and i was like .. well
AHHAHAHAHAHAHHAHAHAHAHAHAH
@JumpySubsequentDolphin: wait this is so cute, also where r u going
JOE MBIDEN
JumpySubsequentDolphin
22:39
@splitty Oregon!
oh yay for what thats so random
JumpySubsequentDolphin
22:45
haha my brother and sister in law live there
so cutie oregon is beatiful
LSD+ is ad-free, with DMs, discounts, case briefs & more.