Common use of Principal Prepayments Clause in Contracts

Principal Prepayments. The principal of this Note may be prepaid, either in whole or in part, at any time and from time to time, provided that such prepayment is accompanied by payment to the Lender of all accrued and unpaid interest on this Note as of the date of such prepayment. If the principal of this Note is prepaid in whole from the proceeds of a loan which is insured, guaranteed or extended by any agency of the United States of America, no prepayment premium or penalty shall be payable in connection with such prepayment. Otherwise, any prepayment of the principal of this Note, in whole or in part, shall be accompanied by payment to the Lender of a prepayment premium in an amount equal to a percentage of the amount of principal being prepaid determined as follows: Prior to the First Anniversary of the Date of this Note 5.0 % On or After the First Anniversary of the Date of this Note But Prior to the Second Anniversary of the Date of this Note 4.0 % On or After the Second Anniversary of the Date of this Note But Prior to the Third Anniversary of the Date of this Note 3.0 % On or After the Third Anniversary of the Date of this Note But Prior to the Fourth Anniversary of the Date of this Note 2.0 % On or After the Fourth Anniversary of the Date of this Note None Any amounts prepaid on this Note may not be borrowed again.