What Is a Mortgage Penalty and How Is It Calculated?

A mortgage penalty is a fee that a borrower may be required to pay if they break the terms of their mortgage agreement. Typically, this penalty is charged when the borrower pays off their mortgage early or makes a larger-than-allowed payment. Mortgage penalties are designed to compensate the lender for the interest income they would… Continue reading What Is a Mortgage Penalty and How Is It Calculated?