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Balloon Notes

A balloon note is a long-term loan, often a mortgage, that has one large payment (the balloon payment) due upon maturity. This type of note will often have the advantage of very low interest payments, thus requiring very little capital outlay during the life of the loan. A balloon note will often have the advantage of very low interest payments, thus requiring very little capital outlay during the life of the loan. Since most of the repayment is deferred until the end of the payment period, the borrower has substantial flexibility to utilize the available capital during the life of the loan. The major problem with such a loan is that the borrower needs to be self-disciplined in preparing for the large single payment, since interim payments are not being made. Balloon notes are often undertaken when refinancing or when a major cash flow event is anticipated.

The benefits of a Balloon Note program are greater flexibility than any other loan and more options at the end of your loan term than any other option. Take a look at these other benefits.

  • Lower monthly payments
  • More car for less money
  • No trade-in hassles or pre-payment penalties
  • Can be used for both new and used vehicle loans
  • Low or no down payment
  • Mileage plans from 12,000 to 18,000 annually
  • Actual ownership of the vehicle
  • And much more!

Plus, with this option you'll have the option to refinance, sell, pay-off the remaining balance, trade, or return the vehicle at the end of your term. You decide what works best for you!