Are there any fees associated with early mortgage payments?

Select Portfolio Servicing, like many mortgage servicers, typically outlines the terms and conditions regarding early mortgage payments in the loan agreement. Generally, many loans do not impose a fee for making early payments. However, some loan agreements may include prepayment penalties, which are fees charged to borrowers who pay off their mortgages early or make larger payments than agreed upon. These penalties are often calculated based on a percentage of the remaining loan balance or the amount of the extra payment. It is crucial for borrowers to carefully review the terms in their specific loan documents to understand any potential fees associated with early payments. This information can clarify whether early payments will incur additional costs. For those seeking detailed information about their loan agreements or to confirm the presence of any potential fees, it is advisable to refer to the official documentation provided at the start of the loan or check the current web page for further guidance. Being well-informed about the terms of one's mortgage can help borrowers make sound financial decisions.