Finesentence logo

Defaulting: meaning, definitions and examples

💸
Add to dictionary

defaulting

 

[ dɪˈfɔːltɪŋ ]

Verb
Context #1 | Verb

financial context

Defaulting refers to the failure to meet the legal obligations or conditions of a loan, such as making timely payments. It can lead to severe consequences, including foreclosure or bankruptcy, depending on the terms of the contract. Defaulting can affect an individual's credit score significantly.

Synonyms

default, failing, nonpayment

Examples of usage

  • The company faced bankruptcy after defaulting on its loans.
  • She worried about defaulting on her student loans.
  • The country risked economic instability by defaulting on its debt.
  • After defaulting, his credit score dropped dramatically.

Translations

Translations of the word "defaulting" in other languages:

🇵🇹 defaultando

🇮🇳 डिफ़ॉल्ट करना

🇩🇪 verzug

🇮🇩 default

🇺🇦 дефолт

🇵🇱 domyślny

🇯🇵 デフォルトする

🇫🇷 défaut

🇪🇸 incumplimiento

🇹🇷 varsayılan

🇰🇷 기본값

🇸🇦 عجز

🇨🇿 default

🇸🇰 predvolený

🇨🇳 默认

🇸🇮 privzeto

🇮🇸 sjálfgefið

🇰🇿 әдепкі

🇬🇪 ნაგულისხმები

🇦🇿 defolt

🇲🇽 incumplimiento

Etymology

The term 'defaulting' originates from the late Middle English word 'defaulte,' which itself derives from the Old French word 'defaulte,' meaning 'failure or lack.' The roots trace back to the Latin 'defectus,' meaning 'a failing or deficiency.' The legal implications of defaulting emerged as the concept of credit evolved over centuries, especially with the rise of banking systems in the modern era. Today, defaulting is primarily associated with financial contexts, particularly in relation to loans and credit agreements. In recent times, with the increase of consumer lending and credit card usage, the term has gained broader recognition, and its repercussions have become a significant concern for both lenders and borrowers in personal and corporate finance.

Word Frequency Rank

Positioned at #22,008, this word is part of extensive vocabulary. It's relatively rare in general usage but may be important in specific fields or formal writing.