How is mortgage loan negative amortizing schedule explained?
Let’s take an example: have a look at a mortgage loan of $250,000 for 30 years at 5.5% effective interest rate and 1.5% minimum payment allowed for 5 years, or until the loan balance limit of, say, 110% is reached. The effective interest rate might be flowing, too. But assuming it is fixed, the example will make more sense for the reader to follow.
