Toponlineloans article

Early repayment.
If a citizen constantly repays bank loans ahead of schedule, then credit institutions are reluctant to contact such a client personal loan with low interest rate in the philippines, since they lose profit. It is not profitable for them to enter into credit transactions with such debtors. Therefore, when concluding the contract, the terms of early repayment are stipulated.

According to the law, a banking organization may prevent early repayment of a loan within three months from the date of signing the loan agreement. If the client repays the debt during this period, the financial company may impose penalties.

When the parties sign the contract, an early repayment clause is agreed upon. The bank may impose a ban for 6 months. If the citizen does not agree, then the employees of the credit institution may refuse to grant a loan or raise the interest rate. If nothing is written about this condition in the document, then the debtor can make an early repayment at any time after three months. Just need to warn the financial company in two weeks about this fact.