Lump Sum Payment Explained
A lump sum payment is one of the easier pieces of mortgage jargon to understand.
A lump sum is simply a relatively large amount.
So a lump sum payment refers to when you the customer decides to make a one off payment.
For instance if you made a one off payment of £5,000 against your mortgage to reduce the amount of the mortgage you need to pay, that is called a lump sum payment.
Quite a lot of mortgages will have penalty charges in place if you make overpayments so you will need to check before making the payment if that applies to your mortgage so that you can assess if you still want to make it or not.
Property Articles
We hope you find this mortgage glossary / explanation of mortgage terms useful. You might also be interested in our articles on a range of property related issues, a selection of which are listed below:- Right to buy and mortgages
- Listed Properties
- Letting Agents
- Property Purchasing in Spain
- Buying Old Property
- Lifetime Mortgage
- Buying Thatched Houses
- Best Buy Mortgage Tables
- Bad Credit Mortgage
- Buy To Let
- Spain and Utility Services
- Mortgage Comparison Tables Explained
- Letting Property: Furnished or Unfurnished?
- First Time Buyers
- Remortgaging
