GPM Loan definition
GPM Loan. A "graduated payment" Asset the terms of which provide for Monthly Payments during the initial years of its term that are less than the actual amount of principal and interest that would be payable on a level debt service basis.
GPM Loan. A fixed rate mortgage loan that provides that scheduled monthly installments of principal and interest increase periodically during such portion of the terms of such mortgage loan as is specified therein and under which the initial scheduled payments are not sufficient to pay the full amount of interest accruing on such mortgage loan.
GPM Loan. A mortgage loan underlying a Certificate which provides that monthly installments of principal and interest increase periodically during such initial portion of the term of such mortgage loan as is specified therein and for which the scheduled payments during such portion of the term are not sufficient to pay the full amount of interest accruing on such mortgage loan.