§ 6565 Bond Default Declaration Terms

• •This law lets people who lend money (like for bonds) set rules for when the borrower is in trouble (like missing payments).
• •If the borrower breaks the rules, the lender can ask for the money back early.
• •The lender can also decide to forgive the mistake and not ask for the money back early.

You borrow money from a bank to build a house, but you stop paying them back.

The bank can say you broke the rules and ask for all the money right now, not later. But if you talk to them, they might let you keep paying later instead.