Negative Amortization
Usually applies to adjustable rate mortgages. When a borrower makes the minimum payment it may not cover all of the interest that would normally be due at the current interest rate. The deferred interest is added to the balance of the loan and the loan balance grows larger instead of smaller.

Note
A legal document that obligating a borrower to repay a mortgage loan at a specific interest rate during a specified period of time.

Note Rate
The interest rate stated on a mortgage note.Notice of Default
A lenders formal written notice to a borrower that a default has occurred and that legal action may be taken.