Depending on the market and manufacturer, leasing and balloon loans
can make up nearly 60% of total car sales.
Increased Credit Union Signings Indicate Balloon Loan
The delinquency index reflects delinquent loans for 60 days or longer, matured balloon loans
and the current month's repurchased assets.
Typically, Aspire's taxicab medallion loans are three-year or five-year balloon loans
Eight loans are fully amortizing and 73 are balloon loans
New delinquent assets in October consisted of five matured balloon loans
, four credit impaired securities, and two term defaults.
Approximately 50% of the initial fixed-rate loan balance were balloon loans
Although commonly used for second and commercial mortgages, balloon loans
have only recently made their debut as a financing tool for first mortgages.
Among the newly delinquent assets were three matured balloon loans
, six new credit impaired securities, and two term defaults.
The increase in delinquencies was tempered by the resolution of 12 other previously delinquent assets, including extensions of two former matured balloon loans
All of the mortgage loans are fixed-rate amortizing balloon loans
The CREL delinquency index includes loans and assets that are currently 60 days or longer delinquent, matured balloon loans
, and the current month's repurchased assets.