Definitions for down payment
down pay·ment

Princeton's WordNetRate this definition:0.0 / 0 votes

1. down payment, depositnoun

   a partial payment made at the time of purchase; the balance to be paid later

WiktionaryRate this definition:0.0 / 0 votes

1. down paymentnoun

   A payment representing a fraction of the price of something being purchased, made to secure the right to continue making payments towards that purchase.

2. down paymentnoun

   By extension, any initial commitment signifying an intention to carry out a larger future commitment, even though no legal rights or obligations are secured.

ChatGPTRate this definition:0.0 / 0 votes

1. down payment

   A down payment is an initial, upfront partial payment made at the commencement of purchasing a large, expensive item or service, such as a house, car, or expensive equipment. This payment represents a percentage of the full purchase price and is typically followed by subsequent payments made over a specified period based on agreed terms and conditions.

WikidataRate this definition:0.0 / 0 votes

1. Down payment

   Down payment is a payment used in the context of the purchase of expensive items such as a car and a house, whereby the payment is the initial upfront portion of the total amount due and it is usually given in cash at the time of finalizing the transaction. A loan or the amount in cash is then required to make the full payment. The main purposes of a down payment are to ensure that the lending institution has enough capital to create money for a loan in fractional reserve banking systems and to recover some of the balance due on the loan in the event that the borrower defaults. In real estate, the asset is used as collateral in order to secure the loan against default. If the borrower fails to repay the loan, the lender is legally entitled to sell the asset and retain a portion of the proceeds sufficient to cover the remaining balance on the loan, including fees and interest added. A down payment in this case reduces the lender's risk to less than the value of the collateral, making it more likely that the lender will recover the full amount in the event of default. The size of the down payment thus determines the extent to which the lender is protected against the various factors that might reduce the value of the collateral, as well as lost profits between the time of the last payment and the eventual sale of the collateral.

Matched Categories

1. • Payment

How to pronounce down payment?

1. Alex

   US English

   David

   US English

   Mark

   US English

   Daniel

   British

   Libby

   British

   Mia

   British

   Karen

   Australian

   Hayley

   Australian

   Natasha

   Australian

   Veena

   Indian

   Priya

   Indian

   Neerja

   Indian

   Zira

   US English

   Oliver

   British

   Wendy

   British

   Fred

   US English

   Tessa

   South African

How to say down payment in sign language?

Numerology

1. Chaldean Numerology

   The numerical value of down payment in Chaldean Numerology is: 5

2. Pythagorean Numerology

   The numerical value of down payment in Pythagorean Numerology is: 6

Examples of down payment in a Sentence

1. Jessica Lautz:

   Black households not only spend a bigger portion of their income on rent, but they are also more likely to hold student debt and have higher balances, this makes it difficult for Black households to save for a down payment and as a result, they often use their 401( k) or retirement savings to enter homeownership.

2. Lawrence Yun:

   Owning a home continues to be a proven method for building long-term wealth, home values generally grow over time, so homeowners begin the wealth-building process as soon as they make a down payment and move to pay down their mortgage.

3. Timothy Naftali:

   Joe Biden has a very intuitive sense of the American people. Joe Biden understands that there is a great deal of American support for Republicans as well as Democrats for reducing America's involvement in the world, one of the things Joe Biden is banking on is a short period of chaos will be accepted by the American people as a down payment on a future more sustainable American position in the world.

4. Biden TransitionBiden:

   I think they're on their way to being able to come up with a package that meets the basic immediate needs that we have, but I've made it real clear, it's just a down payment. This is not the end of the deal.

5. Chuck Schumer:

   The bill will represent a substantial down payment towards the level of infrastructure investment our country needs, and for the first time, the Senate has come together around such a package in decades.

References

1. ^ Princeton's WordNet
   http://wordnetweb.princeton.edu/perl/webwn?s=down payment
2. ^ Wiktionary
   https://en.wiktionary.org/wiki/Down_Payment
3. ^ ChatGPT
   https://chat.openai.com
4. ^ Wikidata
   https://www.wikidata.org/w/index.php?search=down payment