periodic payment plan

(redirected from Periodic Payment Plans)

Periodic payment plan

Accumulation of capital in a mutual fund by making regular payments on a monthly or quarterly basis.

Periodic Payment Plan

An agreement between a debtor and a creditor whereby the debtor makes payments on a portion of the principal and/or interest on a loan or other liability on a monthly or quarterly basis. Nearly all loans are repaid on a periodic payment plan.

periodic payment plan

A plan in which an investor agrees to make monthly or quarterly payments to a mutual fund as a method of accumulating shares over a period of years. The periodic payment plan's stipulation of fixed periodic contributions results in dollar-cost averaging for the investor. See also plan completion insurance.
References in periodicals archive ?
The periodic payment plans involved are Fidelity Destiny Plans I & II, Pioneer Independence Plans, AIM Summit Investors Plans II and Templeton Capital Accumulation Plans II.
The complaint was amended on January 28, 2005 to add specific allegations that defendants violated Section10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder, by making materially false and misleading scripted statements and comparisons about the advantages of investing in a periodic payment plan and by omitting material information about such plans.