The gradual repayment of a mortgage by installments.
The loan payment consists of a portion which will be applied to pay the accruing interest on a loan, with the remainder being applied to the principal. Over time, the interest portion decreases as the loan balance decreases, and the amount applied to principal increases so that the loan is paid off (amortized) in the specified time.
The period of time during which you will owe interest and principal to your lender.
A method of equalizing the monthly mortgage payments over the life of the loan, even though the proportion of principal to interest changes over time. In the early part of the loan, the principal repayment is very low, while the interest payment is very high. At the end of the loan, the relationship is reversed.
The schedule of loan payments that establishes the amount of payment be applied to the principal and the amount to be applied to interest, usually on a monthly basis, for the term of the loan.
Repayment of a debt with installment payments that includes both principal and interest, over a designated period of time.