“Amortization” is not a term we commonly use everyday.  It is rather a foreign term to anyone who is not into business or who has never taken a business course before.  Unless you work in a mortgage industry or have a note on your car or home, “amortization” will remain a highfalutin word for you.  But it’s not as complicated as its five syllables sound.

In a nutshell, an amortized mortgage is a property loan for a specific amount of money that must be paid off within a pre-determined timeframe, using equal monthly payments.  This can be seen on an amortization table and can be determined with the help of amortization…