Balloon payment

Balloon payment,

Definition of Balloon payment:

  1. Loan installment (paid usually at the end of the loan period) that is much larger than the other installments. A balloon payment is required when the previous installments did not extinguish the loan, either intentionally or due to an error or late payments.

  2. What is a balloon loan? A balloon loan is set up for a relatively short term, and only a portion of the loan's principal balance is amortized over that period. The remaining balance is due as a final payment at the end of the term.

  3. A repayment of the outstanding principal sum made at the end of a loan period, interest only having been paid hitherto.

  4. A balloon payment is a large payment due at the end of a balloon loan, such as a mortgage, a commercial loan, or another type of amortized loan. It is considered similar to a bullet repayment.

How to use Balloon payment in a sentence?

  1. Usually, a balloon payment is not used in a typical 30-year home mortgage.
  2. A balloon payment can be a big problem in a falling housing market when owners might not be able to sell their homes for as much as they anticipated before the payment comes due.
  3. The required payments are the monthly instalments of principal and interest under the loan, until the balloon payment comes due in March.
  4. Balloon payments are often at least twice the amount of the loan's previous payments.

Meaning of Balloon payment & Balloon payment Definition

Balloon Payment,

How Do You Define Balloon Payment?

  1. At the end of the initial loan, there is a special interest payment, such as a mortgage, commercial loan or other type of amorised loan. It is considered as a return of the bullet.

    • Generally, the fixed amount is not used on a typical 30-year mortgage.
    • The initial repayment is often at least twice as much as the previously disbursed loan.
    • Fixed payments can be a big problem in a declining residential market, when homeowners can't sell the number of homes they expect before the due date.

  2. Balloon Payment means: Payment of the last balloon based on the loan agreement. High-balance loans will reduce regular payments over the life of the loan.

  3. A simple definition of Balloon Payment is: Invoice installments are usually the last to pay off more debt than other installment receipts.

Literal Meanings of Balloon Payment

Balloon:

Meanings of Balloon:
  1. A colored rubber bag that is inflated with air and then sealed around the neck and used as a toy or children's decoration.

  2. Large bags filled with hot air or gas are usually carried in a passenger compartment.

  3. A round outline where the character's words or thoughts are written in a comedy cartoon.

  4. Large round cup for brandy and other beverages.

  5. Open in a round hot tub.

  6. Take a hot air balloon.

Sentences of Balloon
  1. The room is decorated with balloons and ribbons

  2. He turned his attention to the balloon crossing the Pacific Ocean

  3. "Kapao!" A balloon with the words

  4. Armageddon balloon

  5. Pouch below the waist

  6. He is famous for crossing the sea in balloons

Synonyms of Balloon

fill out, swell out, barrage balloon, fill, billow, bulge, fire balloon, swell, belly, hot-air balloon, bulge out, puff up, bag, weather balloon, billow out, puff out, belly out

Payment:

Meanings of Payment:
  1. The act or process of paying or receiving something or something.

  2. Paid or payable

Sentences of Payment
  1. Apply for a cashback waiver

  2. A $ 2,500 interim settlement

Synonyms of Payment

instalment, discharge, liquidation, premium, remittance, amount, remission, settlement, reckoning, clearance