Is a company: no
Is a proper noun: no
Definition of Modification
- Altering or making changes to the terms of a loan agreement. For example, many mortgage lenders in Canada will allow you to modify the amortization period from a 10 year to a 15 year at any time during the mortgage term.
Related Terms and Acronyms
- Addendum — Definition,
- A change made to a contract.
- Breach of Contract (BOC) — Acronym,
- Failure to abide by terms of a legal agreement without a legal excuse.
- Non-Cancellable — Bank,
- A contract or section of a contract that cannot be modified.
- Contract — Definition,
- An agreement between two or more parties that can be enforced by law.
- Acceptance — Definition,
- A property seller's formal, written approval of a buyer's offer.
- Agreement of Sale (AOS) — Acronym,
- A document in which a property's buyer and seller approve the price and other terms of the transfer of title.
- Amortization — Bank,
- Amortization refers to the process of gradually paying down the principal of a loan. Each payment toward the principal reduces your loan by that amount. This is different than an interest-only loan payment where the principal balance is never reduced. Amortization for a mortgage loan in Canada is normally 25 years, but can be as few as 5 years.
- Consideration — Definition,
- A thing of value that is negotiated as part of a contract.