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What are the differences in the three major stream types?
Compounded Quarterly
Involves the periodic addition of interest to a sum of money, specifically every three months, resulting in an exponential growth of the amount over time.
Amortization Period
The length of time over which a loan or mortgage is scheduled to be repaid.
Compounded Quarterly
Interest calculated four times a year on both the initial principal and the accumulated interest from previous periods.
Amortized Over
The process of paying off a debt over time through regular payments, which cover both principal and interest.
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