The Marty's buy a house and borrow $350,000 from Rocket Mortgage Company. The mortgage carries an interest rate of 6% and is guaranteed for five years. After exactly two years of making monthly payments, the Marty's see that the interest rates have dropped to 4.5% in the market. They ask to be allowed to repay the mortgage in full so that they can refinance. 

What penalty will they face?

Answer rating: 100% (QA)

To calculate the penalty that the Martys will face for repaying the mortgage in full before the end ... View the full answer