Phrases with «negative amortization»

Negative amortization refers to a situation where the amount you owe on a loan increases over time instead of decreasing. Instead of paying off both the principal (the initial amount borrowed) and the interest (the cost of borrowing), you only pay a portion of the interest, leading to an increase in the overall debt. Full definition

negative (parent phrase)
amortization (parent phrase)

negative amortization

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negative amortization loans

Sentences with «negative amortization»

They also used negative amortization loans, which put payments off, adding to the balance of the loan. (thefiscaltimes.com)
There are two scenarios in which you could end up with negative amortization in this spreadsheet (interest being added to the balance). (vertex42.com)
With these plans, it's important to note that payment caps can result in negative amortization during periods of rising interest rates. (ufcu.pfyfn.com)
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Phrases with «negative amortization»

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Sentences with «negative amortization»

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