A borrower who was making payments (principal plus interest) on a loan was required to make a balloon payment at the end of the loan. This was most likely a

In a fully amortized loan, the borrower makes equal payments throughout the loan term that cover both principal and interest, resulting in the loan being completely paid off by the end of the term. There is no balloon payment involved, making this option inconsistent with the scenario described.

A straight loan, or interest-only loan, requires the borrower to pay only the interest during the term, with the entire principal due at the end. This structure does not involve periodic principal repayments, and thus it cannot be classified as having a balloon payment in the context of regular payments towards principal.

A term loan is a general category that refers to any loan with a fixed duration and repayment schedule. While it may involve balloon payments, term loans can also be fully amortized or interest-only, making this option too broad and not specific to the requirement of regular payments combined with a final balloon payment.