Negative amortization
Negative amortization
This happens when the interest due on the loan is more than the monthly payments. The balance unpaid interest is added to the balance of the loan. In negative amortization the loan of the borrower increases and thus he ends up owing more than the original loan.
National Rates
| Loan Type | Today |
|---|---|
| 30 yr fixed | 4.94 |
| 15 yr fixed | 4.38 |
| 5/1 ARM |
3.79 |
Rates may contain points
