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What is a Balloon Loan? A loan for which one significant lump sum payment is due at maturity. Fixed-interest loan. A short term financing.

Accounting Corporate Finance Financial Reporting Financial Analysis Finance
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Question ajoutée par Nitin Gupta, ACA , FP&A , Rockwell Automation
Date de publication: 2014/01/18
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Mayank Bhandari
par Mayank Bhandari , Zonal Manager (West & south) - Large Corporates , Tata Capital

Balooning repayment loan is a loan in which the repayments are structures and generally increase over the period of time , Its generally less initially and increase substantially . It could be short or lonag term .

Divyesh Patel
par Divyesh Patel , Assistant Professional Officer- Treasury , City Of Cape Town

A loan for which one significant lump sum payment is due at maturity.

mukkur srinivasan varadhan
par mukkur srinivasan varadhan , Chartered Accountant , Chartered Accountant in practice

It is a type of loan in which repayment does not spread over the term of the loan.At maturity, full amount is repayable.Short term loans can be availed as balloon loans,as they carry less interest rate than the corresponding long term loan.

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