Any amount paid to reduce the principal balance of a loan before the due date. Payment in full on a mortgage that may result from a sale of the property, the owner's decision to pay off the loan in full, or a foreclosure. In each case,' prepayment' means payment occurs before the loan has been fully amortized.
Barry Goldsmith
| APA | Barry Goldsmith. (2010). prepayment. Retrieved September 21, 2026, from http://smartdefine.org/prepayment/definitions/1160973 |
| Chicago | Barry Goldsmith. 2010. "prepayment" http://smartdefine.org/prepayment/definitions/1160973 (accessed September 21, 2026). |
| Harvard | Barry Goldsmith 2010, prepayment, Smart Define, viewed 21 September, 2026, <http://smartdefine.org/prepayment/definitions/1160973>. |
| MLA | Barry Goldsmith. "prepayment" 21 October 2010. Web. 21 September 2026. <http://smartdefine.org/prepayment/definitions/1160973> |