What is Balloon payment?

[Deepika Nautiyal]

Balloon loans are often short-term advances that may range from one to 25 years in duration.

[karthikarun]

1. Balloon payments are often prepackaged into what are called “two step mortgages”
2. In this type mortgages,  that balloon payments is rolled into a new or continuing amortised mortgage at the prevailing market rates
3. balloon payments can occur within a fixed rate oraadjustable rate mortage (ARM)

[Aravind Kumar]

Aballoon paymentis a large payment made at or near the end of aloan term.

[nivetha]

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

[Hari priya]

Balloon payment is paid usually at the end of the loan period that is much larger than the other installments.

Balloon payment can occur within a fixed rate or adjustable-rate mortgage(ARM)

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