K.S.A. » Chapter 16a
Kansas Statutes Annotated

K.S.A. § 16a-2-509 (2026)

(UCCC) Right to prepay

✓ current as of May 2026
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16a-2-509. (UCCC) Right to prepay. The consumer may prepay in full the unpaid balance of a consumer credit transaction at any time without penalty.

History: L. 1973, ch. 85, § 37; L. 1993, ch. 200, § 11; January 1, 1994.

KANSAS COMMENT, 2010

This section does not apply to a first mortgage loan unless otherwise governed by the U3C. See K.S.A. 16a-1-301(17)(b). Nor does this section give the consumer a right to make a partial prepayment without the consent of the creditor.

Law Review and Bar Journal References:

Limitation of the effect of various clauses in consumer notes, Barkley Clark, 42 J.B.A.K. 147, 199 (1973).

Attorney General's Opinions:

Interest and charges; usury. 79-252.

Consumer credit transactions; prohibition on prepayment penalties; preemption as to national banks. 83-132.

CASE ANNOTATIONS

1. Cited; whether absent specific contractual provision authorizing prepayment debtor has a right to prepay note and mortgage examined. Metropolitan Life Ins. Co. v. Strnad, 255 Kan. 657, 660, 666, 876 P.2d 1362 (1994).


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Notes of Decisions
Cited in 2 cases, 1994–2002 · leading case: Metro. Life Ins. v. Strnad, 876 P.2d 1362 (Kan. 1994).
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Metro. Life Ins. v. Strnad, 876 P.2d 1362 (Kan. 1994). · cites it 3× “The judge noted that the Kansas Legislature had provided for prepayment in certain instances: K.S.A. 16a-2-509, which allows a consumer to prepay in full the unpaid balance of a consumer credit transaction at any time without penalty; K.”
Pilcher v. Direct Equity Lending, 189 F. Supp. 2d 1198 (D. Kan. 2002). “With respect to the prepayment penalty, KSA 16a-2-509 does provide that a consumer may prepay a loan in full without penalty.”
Annotations are extracted automatically from the opinions in the Syfert caselaw corpus and ranked by authority, recency, and treatment. Dots show Syfertize treatment of the citing case itself.