Interest in Arrears 


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Interest in ArrearsInterest that is due only at the maturity date rather than periodically over the life of the loan.Interest in Arrears Similar MatchesInterest only mortgagesInterest only mortgagesWith an interestonly mortgage, your monthly repayments to the lender consist only of interest on the total loan amount. The interest payments will vary depending on the interest rate being charged by the lender at the time. This type of mortgage involves paying the lowest possible monthly outlay to the lender, as no capital is included in the repayment. Instead of repaying the capital, regular payments are put aside in a suitable investment or savings plan. This grows cumulatively and assumptions are made regarding its growth in order to calculate a monthly repayment figure. If you are fortunate, the investment will accumulate at a higher rate than is required to pay back your loan on time, resulting in a cash surplus at the end of the term. This is not always the case however, and sometimes there can be a cash deficit at the end of the term. Interest sensitive stockInterest sensitive stockStocks whose earnings are dependent upon and change with the interest rate, e.g., bank stocks. Interest tax shieldInterest tax shieldThe reduction in income taxes that results from the taxdeductibility of interest payments. Mortgage interest deductionMortgage interest deductionA federal tax deduction for interest paid on a mortgage used to acquire, construct, or improve a residence. Interest only loanInterest only loanA loan in which payment of principal is deferred and interest payments are the only current obligation. Further Suggestionsinterest payableInterest on interest Interest only strip (IO) Equilibrium rate of interest Assumed interest rate mortgage interest relief at source Interim interest Market interest rate interest rate swap Covered interest rate interest rate Uncovered interest parity Amortizing interest rate swap Forward interest rate High withholding tax interest income Real interest rate Interest rate parity line (IRP) Interest payments Wild Interest interest receivable Interest rate futures contract Exact interest Best interests of creditors test simple interest Interest rate parity theorem 
