Inside Kansas, home-based home loan personal debt contracted having on the otherwise just after November cuatro, 1975 can be prepaid service otherwise refinanced rather than punishment when immediately after five years. Inside the earliest five years, the newest prepayment penalty cannot exceed step one% of one’s completely new dominant matter (Kansas Rev. Password Ann. ). 2nd mortgage lenders may charge prepayment punishment as high as step one% of the brand new loan amount (Kansas Rev. Password ). But if the bank billed circumstances otherwise prepayment charges in a single 12 months out of a home mortgage refinance loan, the points and you will prepayment costs can not be charged once more.
Pennsylvania features a law prohibiting prepayment punishment toward home-based mortgages (frequently just those below $fifty,000 using one- in order to a couple of-members of the family property) (41 P.S. 6612). However these is located at least partly preempted by federal rules to own government discounts and loan associations, basic mortgages, and you can federally laid out alternative mortgage loans (varying rate mortgages), centered on Valento DiGiorgio, legal counsel toward Pennsylvania Financial Company.
Rhode Island legislation prohibits prepayment punishment into the mortgage loans on one- so you’re able to four-loved ones homes following first year. In first year, permits a max prepayment punishment out of dos% (Roentgen.I.