### Question
What does in danger of default mean?


### Answer
**In danger of default** has the following meaning in *12 U.S.C. § 4502*:

> a regulated entity with respect to which, in the opinion of the Agency—


(i) the regulated entity is not likely to be able to pay the obligations of the regulated entity in the normal course of business

#### Citation:
  - *12 U.S.C. § 4502*
  - Heading: **CHAPTER 46-GOVERNMENT SPONSORED ENTERPRISES**

