One of the mysteries of the English language finally explained.
A repayment of the outstanding principal sum made at the end of a loan period, interest only having been paid hitherto.
- ‘Ballentine explains how a balloon payment works: ‘After a given time period at a particular rate, the entire remaining amount becomes due on the loan.’’
- ‘The required payments are the monthly instalments of principal and interest under the loan, until the balloon payment comes due in March.’
- ‘Pettitte's departure is one more nudge into the long winter that's been coming for these Yankees for so long, the balloon payment for all the good times.’
- ‘They are now making a balloon payment.’
- ‘Should the customer decide not to pay the balloon payment at the end of the interest-free period then it is time to renegotiate further monthly payments.’
- ‘Are there balloon payments associated with the lease or loan?’
- ‘Sub-prime lenders prey on unsuspecting borrowers, providing loans that include pre-payment penalties, hidden fees, or balloon payments, which systematically strip equity.’
- ‘And balloon payments on those loans are getting closer every day.’
- ‘Generally, balloon payments are not acceptable for qualified plan loans.’
- ‘A further balloon payment is also required upon the announcement that they are getting married.’
- ‘The appeal is the low cost, but buyers should be aware that interest is payable, not just on the ‘proportion’ of the car they buy, but also on the balloon payment.’
- ‘However, unless you stump up the balloon payment at the end of the agreement, you never own the car.’
- ‘The accrued amounts can sometimes be so large that the resale of the property in the year the debt is due will not yield enough to cover the balloon payment or balance due.’
- ‘Now it's balloon payments, loans and lease arrangements.’
- ‘The loan called for repayment in five years with amortization over 15 years and a balloon payment.’
- ‘Borrowers are often unaware of provisions hidden in fine print that require additional fees, balloon payments or the payment of compulsory life insurance premiums.’
- ‘It introduced a 'Red Carpet Option' that transfers ownership to the lessee immediately and requires a balloon payment at the end of the contract.’
- ‘A balloon payment is due when they turn 18 because of the assumption that college will help them become financially independent.’
- ‘The problem with balloon payments is that they can tempt people to buy expensive cars they normally couldn't afford.’
- ‘This is known as the minimum guaranteed future value or residual value, final or balloon payment.’
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