When lenders calculate the interest rate they are prepared to offer, they take into account the loan term and the total amount of interest they will earn. But if your income increases, or you have a cash windfall, or you want to sell the asset on which the loan is secured, you may want to repay your loan early, reducing the lender's profit. This is the reason why some lenders charge an early exit or early repayment fee if you want to repay your loan early or make an extra lump sum payment. These fees can be sizeable, and can make it hardly worthwhile for you to repay early. So before you take out your loan, it's wise to check if you are actually allowed to make extra or early repayments, and if so, how much it is likely to cost.