balloon payment


A large, lump-sum payment scheduled at the end of a series of considerably smaller periodic payments. A balloon payment may be included in the payment schedule for a loan, lease, or other stream of payments.

Use balloon payment in a sentence

You may want to make a balloon payment instead of a lot of smaller ones if you think that will be easier.

​ Was this Helpful? YES  NO 6 people found this helpful.

Homer was able to afford the monthly and weekly payments on the car because he deferred much of the cost into a balloon payment.

​ Was this Helpful? YES  NO 10 people found this helpful.

It is fast approaching that i will owe him a considerable amount more than the usual amount payed, as are the terms of the balloon payment schedule we agreed upon.

​ Was this Helpful? YES  NO 11 people found this helpful.

Show more usage examples...

Browse by Letter: # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
balloon risk creative financing