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1. What term is used to name a type of loan in which the loan amount and interest are due in one

payment at maturity?

asked
User Rkenmi
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2 Answers

4 votes

Answer:

Single Payment Loan

Step-by-step explanation:

EZ dubs

answered
User Yugr
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5 votes

Answer:

Single payment loan

Step-by-step explanation:

In a single payment loan type, the borrower is expected to pay back the entire principal plus interest in one lump sum.

Single payment loans are usually short term loans, meaning payment is expected within one year. This type of loan is available to customers who have different sources of repayment other than regular income.

Single payment loans may be referred to as time loans or balloon loans. For example, A customer may require funds to renovate his house before selling it. He may get a loan from the bank and repay it all at once upon selling the house. Single payment loans are available to high-end customers.

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User Coffemanz
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