- an act or instance of amortizing a debt or other obligation.
- the sums devoted to this purpose.
- the process of amortizing a debt
- the money devoted to amortizing a debt
- (in computing the redemption yield on a bond purchased at a premium) the amount that is subtracted from the annual yieldCompare accumulation (def. 3b)
1670s, in reference to lands given to religious orders, from Medieval Latin amortizationem (nominative amortizatio), noun of action from past participle stem of amortizare (see amortize). Of debts, from 1824.
A term that refers either to the gradual paying off of a debt in regular installments over a period of time or to the depreciation of the “book value” (that is, the standard assessed value) of an asset over a period of time.