---
kind: "section"
citation: "5 C.F.R. § 1655.17"
title: "5"
number: "1655.17"
heading: "Prepayment."
url: "https://uscodex.org/cfr/5/1655.17"
---

# §1655.17. Prepayment.

- (a) A participant may repay a loan in full, without a penalty, at any time before the declaration of a deemed distribution or loan foreclosure under [§ 1655.15](/cfr/5/1655.15.md). Repayment in full means receipt by the TSP record keeper of a payment, by check or guaranteed funds made payable to the Thrift Savings Plan or via loan direct debit repayments, of all principal and interest due on the loan.
- (b) If a participant returns a loan check to the TSP record keeper, it will be treated as a repayment; however, additional interest may be owed, which, if not paid, could result in a deemed distribution. The loan, even though repaid, will also be taken into account in determining the maximum amount available for future loans, in accordance with [§ 1655.6(b)](/cfr/5/1655.6.md?p=b).
- (c) The amount outstanding on a loan can be obtained from the TSP website, the ThriftLine, or by a written request to the TSP record keeper.

## Notes

### Amendments

[87 FR 31694, May 24, 2022]

### Authority

Authority: 5 U.S.C. 8432d, 8433(g), 8439(a)(3) and 8474.

### Source

Source: 68 FR 35515, June 13, 2003, unless otherwise noted.

### Amendments

[87 FR 31694, May 24, 2022]