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Glossary of Terms Used for USAID's Automated Directives System (ADS) - Updated 07/15/2011 Partial Revision

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Term Definition
Default

Failure to meet any obligation or term of a credit, grant, or contract agreement that causes the lender to accelerate demand on the borrower because of the severity of the borrower's breach of the agreement. Default is often used to refer to accounts more than 180 days delinquent (USAID Automated Directives System - ADS - Chapter 625).

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