Borrowers may prepay their loans at any time, in whole or in part, without penalty. If a borrower makes a prepayment during the first 12 months after loan issuance, then you will receive your pro rata share of the payment less the 1% servicing fee, charged as a percentage of the monthly contractual payment amount only, regardless of the borrower’s prepayment amount.

For example, if the contractual monthly payment amount for a Note is $300 and a prepayment payment of $4,000 is received for that Note, an investor would only be charged a servicing fee of $3 (1% of $300).
 
If a borrower makes a prepayment after the first 12 months after loan issuance, then you will receive your pro rata share of the payment less the 1% servicing fee, charged as a percentage of the total prepayment amount received.