The Law Dictionary

Your Free Online Legal Dictionary • Featuring Black’s Law Dictionary, 2nd Ed.

POTENTIAL DEFAULT Definition & Legal Meaning

Definition & Citations:

Any case in which the borrower might default on their payments in the future. The term can be used to refer to a borrower who has a higher probability of defaulting.


This article contains general legal information but does not constitute professional legal advice for your particular situation. The Law Dictionary is not a law firm, and this page does not create an attorney-client or legal adviser relationship. If you have specific questions, please consult a qualified attorney licensed in your jurisdiction.