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Redemption Period |
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Redemption PeriodA time period during which a mortgage, landcontract, deed of trust, etc., can be redeemed. Usually set by statute, and after judicial foreclosure.Redemption Period Similar MatchesRedemption penaltiesRedemption penaltiesCharges paid to the lender in compensation for lost interest if you redeem your mortgage ahead of schedule. During a discount period you will be severely penalised if you try to switch to another product or mortgage provider. Penalties can be stepped just like discounts, and can be particularly severe within the first year. This is to ensure that the costs that the lender endures in setting up the mortgage are always covered. Penalties can be a fixed sum of money, though are often proportion of the loan. With cashback mortgages, you often have to repay the amount of money you received as cashback. Extended redemption penaltyExtended redemption penaltyThis is where the redemption penalty continues beyond a fixed or capped rate period, effectively tying you in to the much higher variable rate for a period of time after the fixed or capped period. As a result you get stuck paying an uncompetitive rate that eats into the gains you may have made from having the fixed rate or capped ratein the first place. RedemptionRedemptionThe re-purchase of a security, such as a bond or preferred stock, by the issuing company at or before maturity. Redemption priceRedemption priceSee: Call price Redemption penalty overhangRedemption penalty overhangThis is where the redemption penalty continues beyond a fixed or capped rate period, effectively tying you in to the much higher variable rate for a period of time after the fixed or capped period. As a result you get stuck paying an uncompetitive rate that eats into the gains you may have made from having the fixed rate or capped ratein the first place. Further SuggestionsRedemption chargeRedemption redemption yield redemption price Right of redemption Redemption statement Mandatory redemption schedule redemption date Redemption Redemption fee Preferred equity redemption stock (PERC) Redemption cushion gross redemption yield Overhanging redemption penalty Redemption date Serial redemption Redemption redemption fees right of redemption |
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