KY Prepayment Penalty for HELOC

Posted By: workerbee

KY Prepayment Penalty for HELOC - 01/14/19 04:47 PM

Looking over KY for prepayment penalty- it looks like if we have a heloc where rate can change monthly, that we are unable to do a prepayment penalty due to verbiage of not allowing after first interest rate reset? Am I understanding this correctly?
Posted By: rlcarey

Re: KY Prepayment Penalty for HELOC - 01/14/19 05:37 PM

To which State stature are you referring for HELOCs?
Posted By: workerbee

Re: KY Prepayment Penalty for HELOC - 01/14/19 06:02 PM

KY Rev. Stat 286.8-110(4) Thanks!
Posted By: rlcarey

Re: KY Prepayment Penalty for HELOC - 01/14/19 07:28 PM

I would concur.
Posted By: M&M

Re: KY Prepayment Penalty for HELOC - 03/21/19 02:24 PM

This section does not apply to financial institutions per the exemption in 286.8-020(1)(a).