### Question
How does the law define default?


### Answer
Under *12 U.S.C. § 1441a*, **default** is defined as:

> a failure to comply with the terms of a loan or other obligation to such an extent that the property securing the obligation is foreclosed upon

#### Citation:
  - *12 U.S.C. § 1441a*
  - Heading: **CHAPTER 11-FEDERAL HOME LOAN BANKS**

