Kansas HB2497 prohibits prepayment penalties on home loans more than six months after execution.

Kansas HB2497 amends the state's financial institutions law to prohibit lenders from assessing prepayment penalties on home loans more than six months after the execution of the note. This applies to loans made primarily for personal, family, or household purposes secured by a real estate mortgage. The bill also allows lenders to collect certain fees and expenses related to the loan. Exceptions include loans subject to the usury provisions of the Kansas mortgage business act, consumer credit transactions, loans made by qualified plans, and business or agricultural transactions.

Kansas HB2497 prohibits prepayment penalties on home loans more than six months after execution.

Kansas HB2497 amends the state's financial institutions law to prohibit lenders from assessing prepayment penalties on home loans more than six months after the execution of the note. This applies to loans made primarily for personal, family, or household purposes secured by a real estate mortgage. The bill also allows lenders to collect certain fees and expenses related to the loan. Exceptions include loans subject to the usury provisions of the Kansas mortgage business act, consumer credit transactions, loans made by qualified plans, and business or agricultural transactions.