deferred interest security — ценная бумага с отложенной выплатой процентов
Some of the arrangements involve the use of discounted and other deferred interest securities, including capital-indexed securities.
For example, if the periodic interest payment on a loan is $500 and a $400 payment may be made contractually, $100 is added to the principal balance of the loan.
Adjustable-rate mortgages with a deferrable interest feature are typically known as payment option ARMs. Fixed-rate mortgages with a deferrable interest feature are typically known as graduated-payment mortgages. While these mortgages can provide borrowers with the ability to make low monthly payments, they carry the risk that the monthly payments must increase substantially at some point over the term of the mortgage.
The bonds are sold at a discount to reflect the deferred interest payments.