Definition of Amortization

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Definitions for Debt Consolidation and Financial Terminology:


Related Consumer Finance Programs - The following sub-directories of companies offer a wide variety of financial programs to assist you with the management of your finances. Consolidate debt with a consolidation loan or use a debt counseling service or mortgage refinance for help with the consolidation of your charge card debt and other monthly payments.

  • Fast Personal Loan - Need a smaller loan? Personal loan financing is most often unsecured. Meaning... your home or personal property is not used as collateral and the loan decision will typically be based upon your credit history and your ability to make the necessary payments. Also, this is often referred to as a signature loan.
  • Credit and Debt Management - Having trouble keeping up with your monthly credit payments? Compare debt management companies in this online list that can try amd help you get a grip on your personal financial situation.

Amortization definition

Define Amortization: Amortization is the process of paying down a debt through scheduled, periodic payments. In regards to taxation, it is also used to describe the process of writing off the cost or value of an asset. However, in the context of personal finance, the term almost always means paying down a debt by means of making regular scheduled payments, most often monthly.


Although the amortization schedule need not assign the same payment amount to each payment period, in practice this is nearly always the case excepting the final payment. Also, Amortization payments almost always include the related interest and finance charges arising from the loan.



Glossary of Debt Consolidation and Related Terms
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