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I want to talk about advertising loans now an advertising loan is one where you borrow a certain amount of money and you repay it over a certain number of periods that could be monthly that could be yearly um Etc and your payments are a fixed amount and that money gets divided between interest and principal the principle being the repayment of the loan amount and a mortgage is a is a good example of an advertising Loan in fact its a very interesting advertising loan because you can look at it and um anybody whos had a mortgage knows that in the early parts of the um uh in the early part of the mortgage in the early years youre making a large payment but very little is paying off the balance of your loan almost all of it goes to paying off the interest as time goes on you get to a point where more and more of of your money goes to paying off the principal and in the later years okay when you get close to paying off the loan most of your payment goes to the principal and very little t
