When can a homeowner prepay on his or her home mortgage?

Question

Quizplus · Accepted Answer

Homeowners can prepay on their mortgage at any time without any penalty if their mortgage agreement does not have any prepayment restrictions. Some mortgage agreements may limit the amount and frequency of prepayments, or may charge a penalty for prepaying before certain dates or paying off the mortgage balance in full before the end of the term. However, if there are no restrictions, homeowners can make prepayments whenever they want to reduce their overall interest costs and accelerate their debt repayment.

When Can a Homeowner Prepay on His or Her Home