- The section of a contract or document that allows the lender to speed up the payment date in the event of a default, making the entire principal amount due.
provision, stipulation, fine print, full payment, motion to be paid
Related Terms and Acronyms
- Alienation Clause — Definition,
- A requirement that the borrower pay the mortgage in full upon transfer of the property.
- Call Option — Definition,
- A clause in a mortgage that gives the lender the right to request the balance at any time.
- Contract — Definition,
- An agreement between two or more parties that can be enforced by law.
- Conversion Clause — Definition,
- A provision that may appear in an adjustable-rate loan agreement allowing the loan to be changed to a fixed-interest rate loan, usually for an additional charge.
- Mortgage Acceleration Clause — Definition, Important,
- A provision of a loan agreement that lets a lender demand payment of the full balance under specified circumstances, such as sale of the property, default or refinancing. Not commonly used in Canada and/or Canadian lenders.