Notice of Default
- A step in the foreclosure process in which the lender formally tells a court that the borrower is in arrears.
deficiency, destitution, disregard, delinquency, insolvency, indebtedness, lapsed, failure to pay, inadequacy, insufficient payment
Related Terms and Acronyms
- Contract — Definition,
- An agreement between two or more parties that can be enforced by law.
- Default — Definition,
- When a borrower fails to fulfill the obligations of a loan or lease.
- Delinquency — Definition,
- Failure to make mortgage payments when mortgage payments are due.
- Delinquent Mortgage — Definition, Important,
- A mortgage loan where the borrower fails to make payments as specified in the loan agreement.
- Forbearance — Definition,
- Delaying foreclosure, usually because the borrower has arranged to pay the amount in arrears.
- Foreclosure — Definition,
- The legal process by which a borrower in default under a mortgage is deprived of his or her interest in the mortgaged property. This usually involves a forced sale of the property at public auction with the proceeds of the sale being applied to the mortgage debt.