Negative amortization
Definition
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.
Related Terms Other terms related to 'Negative amortization' starting with the letter 'N' No ratio loan, Negative points, Net jumping, Net branch, No change scenario Browse by Letter » 1 4 A B C D E F G H I J L M N O P Q R S T U V W Y | 