adminPrincipal debt: The principal balance, in regard to a mortgage or other debt instrument, is the amount due and owing to satisfy the payoff of the underlying obligation, less interest or other charges.
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Debt default: Default is the failure to repay a debt including interest or principal on a loan or security. A default can occur when a borrower is unable to make timely payments, misses payments, or avoids or stops making payments.
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Bankruptcy: When an individual or a company has insurmountable debt and cannot repay it, it’s possible to declare bankruptcy to receive legal protection from the debts. Bankruptcy involves a legal process, possibly including the sale of assets to reduce the debt amount.
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Lien : A lender may place a lien on property in connection with a debt, giving the lender legal right to the property if the borrower defaults on the loan.
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Grace Period: Revolving credit card lending involves grace periods, wherein borrowers do not have to pay finance charges or interest if they pay balances in full.
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Foreclosure: If a borrower does not make payments on a secured debt, the lender may initiate legal foreclosure proceedings to seize the property associated with the debt. Default on a mortgage could result in foreclosure and auction of the property.
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