Clawback
nounclaw·backpronounced KLAW-bak
Last reviewed 16 April 2026
What does the noun Clawback mean?
A provision where the lender reclaims some or all of the upfront commission paid to the mortgage broker if the borrower pays off or refinances the loan within a set period, typically 1 to 2 years after settlement. Federal regulations cap the maximum clawback period at 2 years and prohibit brokers from passing clawback costs to borrowers.
How the noun Clawback is used
Our broker mentioned that if we refinanced within the first two years, the lender could trigger a clawback on their commission.
Synonyms
commission clawback
Related words
Cite this entry
MLA citation: "Clawback." How to Property, 16 Apr. 2026, https://howtoproperty.com.au/definitions/clawback. Accessed 29 May 2026.
Chicago citation: How to Property. "Clawback." Last modified April 16, 2026. https://howtoproperty.com.au/definitions/clawback.
APA citation: How to Property. (2026, April 16). Clawback. https://howtoproperty.com.au/definitions/clawback