amortized loans

[jasmine pradhan]

they are the types of loans with which the lender may require the borrower to repay parts of the loans amount over time. the process of providing for a loan to be paid off by making regular principal reductions is known as amortizing the loans.

[sanjana]

A loan with scheduled periodic payments of both principal and interest. This is opposed to loans with interest-only payment features, balloon payment features and even negatively amortizing payment features.

[RadhaKrishna]

Amortized loans are such type of loans which are desinged to be paid in installment basis. the payment fixed for each installment combines the interest up to the installement period and a certain part of principle.

[nirankumar]

amortization of loan means repayment of loans in installment basis. here we calculate all interest during the total period and divide each in each year or installments. the present value of all interests during total period and principal to be paid at maturity period in installment basis is amortization of loan calculation.

[Junmae]

Loans from banks are mostly in amortized type of repayment. I think for a consumer like me which only getting payment from the salary monhtly, this is a big help. However, the longer the amortization, the higher the interest rate.