---
kind: "section"
citation: "12 U.S.C. § 1735a"
title: "12"
title_heading: "Banks and Banking"
number: "1735a"
heading: "Prepayment of mortgages by nonprofit educational institutions; refunds"
release: "119-102"
url: "https://uscodex.org/usc/12/1735a"
units:
  - "Chapter 13 — National Housing"
  - "Subchapter V — Miscellaneous"
---

# §1735a. Prepayment of mortgages by nonprofit educational institutions; refunds

- (a) Notwithstanding any other provision of this chapter, no adjusted premium charge shall be collected in connection with the payment in full, prior to maturity, of any [mortgage](/usc/12/1707.md?p=a) insured under this chapter, if the [mortgagor](/usc/12/1707.md?p=b) certifies to the Secretary that the loan was paid in full by or on behalf of a nonprofit educational institution which intends to use the property for educational purposes.
- (b) The Secretary shall refund any adjusted premium charge collected subsequent to July 1, 1962, and prior to September 2, 1964, in connection with the payment in full, prior to maturity, of any [mortgage](/usc/12/1707.md?p=a) insured under this chapter, if the [mortgagor](/usc/12/1707.md?p=b) under such [mortgage](/usc/12/1707.md?p=a) makes the certification prescribed by [subsection (a)](#a).

## Source credit

(June 27, 1934, ch. 847, title V, § 517, as added Pub. L. 88–560, title I, § 120, Sept. 2, 1964, 78 Stat. 782; amended Pub. L. 90–19, § 1(a)(3), May 25, 1967, 81 Stat. 17.)

## Notes

### Editorial Notes

### Amendments

1967—Subsecs. (a), (b). Pub. L. 90–19 substituted “Secretary” for “Commissioner” wherever appearing.