balloon payment

noun

1. a large payment that concludes a series of smaller payments, for example in order to repay a loan

Example Sentences

The loans are considered safer because they are repaid in installments over several months instead of in one balloon payment.

From New York Times

“It also alleviates the anxiety of having to figure out how to pay off a large balloon payment in the future.”

From Los Angeles Times

Instead, the foundation acted as the lender, effectively extending a mortgage to Peart’s business for an $800,000 down payment, a $1.83 million balloon payment in July 2022 and interim interest payments of $11,000 a month.

From Washington Post

Martinez highlights the fact that CTC payments will be monthly, instead of some annual balloon payment, as a crucial distinction.

From Seattle Times

The raised money, she said, will help her to satisfy terms of a balloon payment for a loan that is due Feb. 1 on her ranch in Wilton, about 20 miles southeast of Sacramento.

From Washington Post