📅Prepayment Penalty-Free Date Calculator

Enter your loan origination date and penalty-free period to find the exact date you can repay without a fee.

years
10k KRW

When Can You Repay Your Loan Without a Penalty?

Most bank loans in Korea include a prepayment penalty clause that applies within the first 1–3 years from the loan origination date. The typical fee is 1.2%–1.5% of the prepaid amount. Once the penalty-free period has passed, borrowers can repay any amount — in part or in full — without any additional charge. For large mortgages, even a 1.2% fee on 100 million KRW represents 1.2 million KRW — worth planning around.

This calculator takes your loan start date and the specified penalty-free period to compute the exact date after which prepayment is free. It also shows the current estimated fee if you were to repay today. Use this tool to time your early payoff strategically and avoid unnecessary charges when refinancing or selling a property.

Frequently Asked Questions

Does the prepayment penalty apply to partial repayment?

Yes, most lenders apply the penalty to any early principal repayment — whether full or partial — before the penalty-free date. Some allow up to 10–20% of the balance as annual penalty-free prepayment; check your loan agreement.

What happens if I sell my home before the penalty expires?

You will typically have to pay the prepayment fee as part of loan closure. Some banks offer exceptions for mandatory sales (e.g., relocation), so it's worth contacting your lender if you're in this situation.