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.

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

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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.

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