« Back to Glossary Index

A form of prepayment penalty for which the borrower is required to purchase and deposit with the lender substitute collateral, such as a Treasury security that matches the principal and interest payments of the prepaid loan and thereby sufficiently services the debt of the prepaid loan.

Get in Touch

Want more information? Have a deal you'd like to discuss? Let us know!

Give us a ring

Mon – Fri, 9:00am – 6:00pm ET

E-mail us

[email protected]

Contact Us