There are two general definitions of amortization. The first is the systematic repayment of a loan over time. The second is used in the context of business accounting and is the act of …

The meaning of AMORTIZE is to pay off (an obligation, such as a mortgage) gradually usually by periodic payments of principal and interest or by payments to a sinking fund.

Mar 6, 2025 · An amortization schedule is a chart that tracks the falling book value of a loan or an intangible asset over time. For loans, it details each payment’s breakdown between principal …

Oct 17, 2025 · Amortization is the regular, fixed reduction in value of something over time. In finance, amortization commonly comes up in 2 main ways: with debt and with assets. With …

AMORTIZE definition: 1. to reduce a debt or cost by paying small regular amounts: 2. to take a cost, for example the…. Learn more.

Mortgage amortization describes the process of paying off your loan in installments over time. If you’re taking out a fixed-rate mortgage, you’ll know exactly how much you’re going to pay in …

Amortize definition: to liquidate or extinguish (a mortgage, debt, or other obligation), especially by periodic payments to the creditor or to a sinking fund.. See examples of AMORTIZE used in a …

Jun 8, 2025 · Loans that amortize, such as your home mortgage or car loan, require a monthly payment. As a result, you need to compute the interest and principal portion of each payment …

Jul 15, 2025 · The easiest way to amortize a loan is to use an online loan calculator or template spreadsheet like those available through Microsoft Excel. However, if you prefer to amortize a …

In accounting, amortization is conceptually similar to the depreciation of a plant asset or the depletion of a natural resource. Perhaps the most common example of the term amortization is …