Untitled Document
Defereed
Interest
When
a mortgage
is written with a monthly
payment that is less than required to satisfy the note
rate, the unpaid interest is deferred
by adding it to the loan balance. See negative
...
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Negative Amortization
Negative Amortization
Negative amortization, also known as Neg Amortization, NegAm, NegAmMort, occurs when borrower pays back less than the full amount of interest owed to the lender each month. The difference betweeen full interest and paid amount is added to the total amount ...
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