Finance
A Montana lender who charges 'prepayment penalties' is charging the borrower for:
APaying off the loan early, before the scheduled maturity✓ Correct
BMissing a loan payment
CPaying less than the full monthly payment
DRefinancing the loan with the same lender
Explanation
A prepayment penalty is a fee charged by the lender if the borrower pays off the loan early, before the scheduled maturity date. These are regulated and not permitted on certain loan types (e.g., QM loans after a certain period).
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