For Negative Amortization we have terms and definitions in 7 topics. The topics are Accounting, Debt Consolidation, Finance, Mortgage, Purchasing A Home, Real Estate and Refinance.

Negative Amortization (Accounting)

is a loan repayment schedule in which the outstanding principal balance of the loan increasesrather than amortizingbecause the scheduled monthly payments do not cover the full amount required to amortize the loan. The unpaid Interest is added to the outstanding principalto be repaid later.

Negative Amortization (Debt Consolidation)

Occurs when your monthly payments are not large enough to pay all the interest due on the loan. This unpaid interest is added to the unpaid balance of the loan. The danger of negative amortization is that the buyer ends up owing more than the original amount of the loan.

Negative Amortization (Finance)

A loan repayment schedule in which the outstanding principal balance of the loan increases, rather than amortizing, because the scheduled monthly payments do not cover the full amount required to amortize the loan. The unpaid interest is added to the outstanding principal, to be repaid later.

Negative Amortization (Mortgage)

A rise in the loan balance when the mortgage payment is less than the interest due. Sometimes called "deferred interest." It is explained in detail in How Does Negative Amortization on a Mortgage Work? Negative amortization arises most frequently on ARMs. See Should You Fear Negative Amortization and Is a 3.95% Adjustable Rate Mortgage a Good Deal?

Negative Amortization (Purchasing A Home)

Something which occurs when your monthly payments are not large enough to pay all the interest due on the loan. This unpaid interest is added to the unpaid balance of the loan. The home buyer ends up owing more than the original amount of the loan.

Negative Amortization (Real Estate)

A gradual increase in mortgage debt that occurs when the monthly payment is not large enough to cover the entire principal and interest due. The amount of the shortfall is added to the remaining balance to create "negative" amortization.

Negative Amortization (Refinance)

Occurs when your monthly payments are not large enough to pay all the interest due on the loan. This unpaid interest is added to the unpaid balance of the loan. The danger of negative amortization is that the buyer ends up owing more than the original amount of the loan.

Similar

Browse words that start with:

• Ne
• Neg
• Nega
• Negat

Browse All Terms by First Letter

Term Search