This is just how they fuck you. Sadly it's legal

they should be illegal. there is no benefit to the debtor.

when I was working with my loan officer for a mortgage I made sure to specify "no penalty for early payoff". paying extra to principal as one can is one of the few ways a working class person can avoid being completely reamed by the servicer, because the "return" of avoided interest is guaranteed and since it's not "income", it's not taxable.

if someone tries to talk you into an EMI on a loan, treat them as though they asking to close your eyes so they can bash you over the head with a rock.

That's totally normal, most car loans operate this way.