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amortize

/ˈæm.ə.taɪz/
IELTSAcademic
verb

To pay back a loan slowly in regular amounts over a period of time. It can also mean to spread the cost of something over time in accounting.

  • They amortize the loan over ten years.
  • The company amortizes the software cost each year.
  • You can amortize the purchase over monthly payments.

Adinary Nuance

Amortize is more specific than repay or pay off. Use it for loans, debts, or costs paid in planned parts over time. In business and accounting, it often means spreading a cost across several years. It sounds formal and is common in finance, banking, and academic writing.

In other languages

Vietnamese
khấu hao
Spanish
amortizar
Chinese
摊销
Japanese
償却する
Korean
상각하다

Etymology

Amortize comes from French amortir, from Latin ad- plus mortuus, meaning “dead.” In English, it appeared in financial and accounting use in the 15th century.

Common phrases

amortize a loanamortize the costamortize over timeamortization schedule

Synonyms

Related words

Frequently asked questions

Is amortize a formal word?
Yes. It is formal and common in finance, banking, and accounting.
What is the difference between amortize and repay?
Repay is general. Amortize means paying in regular parts over time.
Can I use amortize in business writing?
Yes. It is a very common word in business and accounting writing.