Word.ws English Dictionary

prepayment penalties

prepayment penalties is the plural of prepayment penalty.

Meaning of prepayment penalty

Noun

prepayment penalty (plural prepayment penalties)

  1. An additional fee charged for paying off part of or the entirety of a loan ahead of the scheduled due date in order to compensate for the loss of interest income suffered by the creditor in such case.
    • Prepayment penalties can be viewed as a necessary supplement to the escalating-payments feature: If borrowers prepay before the end of the low-rate introductory period and thus avoid the high post-reset rates, then the escalating-payments feature becomes moot.2012, Oren Bar-Gill, Seduction by Contract

Questions about prepayment penalties

What is prepayment penalties the plural of?
Prepayment penalties is the plural of prepayment penalty.

Words near prepayment penalties in the dictionary

  1. prepayable
  2. prepayer
  3. prepayers
  4. prepaying
  5. prepayment
  6. prepayment penalties
  7. prepayment penalty
  8. prepayments
  9. prepays
  10. prepd
  11. prepd.

Source and license

Adapted from Wiktionary: prepayment penalties (page history and authors); prepayment penalty (page history and authors). Text available under the Creative Commons Attribution-ShareAlike 4.0 license. Word.ws reformatted the entry and added links. Wiktionary data of 2026-09-02.

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