loan default
Failed debt obligation
Loan default is the failure to repay a loan according to its terms—typically missing payments for an extended period.
Default triggers consequences: damaged credit, collection efforts, seizure of collateral, or legal action.
The bank foreclosed after the mortgage went into default.
A borrower may default on student loans, car loans, or credit cards.
Countries can also default on sovereign debt.
- creditorOne owed money
- debtMoney owed another
- debt spiralSelf-perpetuating financial decline
- foreclosureLender seizes mortgaged property
- underwater mortgageLoan exceeding property value
credit score · bad credit · credit report · payment history · bankruptcy · contract breach · arrears · insolvency · garnishment · charge-off · repossession · asset seizure · penalty fees · debt restructuring · debt collection · collection agency · refinancing · payment plans
- debtdebt, creditor, owe, debtor, lender
- loansloans, lend, borrow, auto loans, bank loans
- money mistakesoverspending, impulse buying, gambling debt, debt spiral, no savings
- risksrisk, gamble, bet, wager, chance it
- lendingloans, borrower, approval, lenders, lender
- mortgagesfixed-rate mortgage, mortgage broker, adjustable-rate mortgage, mortgage payment, mortgage insurance
loan defaulttimely payment
Funds delivered by deadline
on-time payment · loan repayment · good standing · debt repayment · keeping current
loan defaultcreditworthiness
Ability to repay debts
solvency · financial stability · fiscal health · good credit · financial responsibility