Prepayment Privilege

See: Prepayment Penalty. It's the opposite.

When you have the privilege of paying off a loan early, it's usually a good thing. Like...you're paying 11% on your auto loan. You can pay it off any time you want. Uncle Larry dies and leaves you $23,000, after lawyer fees. You can march right down to Smilin' Sam's Auto Dealership and write him a check for $23,000 and owe no more car payments, with no extra fees or "penalties" for taking away Sam's fat, juicy 11% interest rate he was hoping to collect for half a decade.

Thank you, Larry.