default

noun

de·fault | \ di-ˈfȯlt

, dē-; ˈdē-ˌfȯlt\

Definition of default

(Entry 1 of 2)

1 : failure to do something required by duty or law : neglect

2 archaic : fault

3 economics : a failure to pay financial debts was in default on her loan mortgage defaults

4a law : failure to appear at the required time in a legal proceeding The defendant is in default.

b : failure to compete in or to finish an appointed contest lost the game by default

5a : a selection made usually automatically or without active consideration due to lack of a viable alternative remained the club's president by default the default candidate

b computers : a selection automatically used by a program in the absence of a choice made by the user using the default settings

in default of

: in the absence of

default

verb

defaulted; defaulting; defaults

Definition of default (Entry 2 of 2)

intransitive verb

1 : to fail to fulfill a contract, agreement, or duty: such as

a : to fail to meet a financial obligation default on a loan

b law : to fail to appear in court

c : to fail to compete in or to finish an appointed contest also : to forfeit a contest by such failure

2 computers : to make a selection automatically in the absence of a choice made by the user The program defaults to a standard font.

transitive verb

1 : to fail to perform, pay, or make good default a loan

2a : forfeit defaulted the game

b : to exclude (a player or a team) from a contest by default was defaulted from the tournament

Other Words from default Synonyms More Example Sentences Learn More about default

Keep scrolling for more

Examples of default in a Sentence

Noun

The defendant has made no appearance in the case and is in default. You can enter your own settings or use the defaults. Which font is the default in that computer program?

Verb

If the borrower defaults, the bank can take the house. The program defaults to a standard font.

Recent Examples on the Web: Noun

In fact, with the home button gone, the user doesn't get a really clear sense which orientation is intended as the default. — Samuel Axon, Ars Technica, "2018 iPad Pro hands-on: Improving on the world’s best tablet," 30 Oct. 2018 Puerto Rico’s financial restructuring is ricocheting in a new direction after a federal court ruling threatened to leave the U.S. territory without functioning fiscal supervisors for the first time since its default on its debt. — Andrew Scurria, WSJ, "Puerto Rico’s Debt Saga May Land Back in Washington’s Lap," 22 Feb. 2019 Or this is just her default setting due to living in the Trump White House. — Michelle Ruiz, Vogue, "Um, What Is Going on With Melania Trump in This Video?," 18 July 2018 Millions of people are in default, and many young people are graduating into adulthood facing payments that limit their ability to buy homes and to start families of their own. — Karl Russell, New York Times, "The New Toll of American Student Debt in 3 Charts," 11 July 2018 Of 600 districts in Florida, more than 168 are in default, according to his memo. — Meryl Kornfield, Sun-Sentinel.com, "Developer revises Pier 66 proposal, as city readies vote," 10 July 2018 Democrat Susan Bysiewicz was ruled Monday to be in default by a Superior Court clerk for failing to plead in a civil lawsuit brought against the lieutenant governor candidate in April by two Brookfield Republicans. — Neil Vigdor, courant.com, "Susan Bysiewicz Unresponsive To GOP Lawsuit, Found In Default By Court Clerk," 9 July 2018 In a petition filed in Milwaukee County Circuit Court, CIBM said Apiscent is in default on its debt and is either insolvent or in danger of insolvency. — Rick Romell, Milwaukee Journal Sentinel, "St. Francis chemical business lands in receivership for second time in four years," 22 June 2018 The conflict came to a head last year when the commission declared Flagstone in default of its agreement, which spurred lawsuits that recently ended with a judge favoring Flagstone. — Chabeli Herrera And Joey Flechas, miamiherald, "Jungle Island gets approval to ask voters in August ballot: Can we build a hotel?," 8 June 2018

Recent Examples on the Web: Verb

But the country has had to pay up to persuade other international investors to lend it money, in part because the Correa government defaulted on $3.2 billion in bonds in 2008 and later bought most of them back at 35 cents on the dollar. — Ryan Dube, WSJ, "IMF, Development Banks Agree to $10.2 Billion Bailout for Ecuador," 21 Feb. 2019 The Vietnam War was sputtering to an end and McDonnell Douglas Aircraft, then America’s largest manufacturer of jet airplanes, had defaulted on a contract involving the delivery of 99 jets to Eastern Airlines. — Tarpley Hitt, miamiherald, "Could your next lawyer be a robot? Tech firms making case for artificial intelligence | Miami Herald," 18 Apr. 2018 Chrome started deprecating Flash in 2016, defaulting to HTML5 features and requiring Flash to be enabled on a per-site basis. — Peter Bright, Ars Technica, "Chrome 69 will take the next step to killing Flash, roll out new design," 21 Aug. 2018 According to Google, 76 percent of all Chrome traffic on Android and Windows is encrypted, and 83 of the top 100 sites on the web defaulted to HTTPS. — Brad Chacos, PCWorld, "What Chrome's 'Not secure' warning for unencrypted HTTP websites means," 24 July 2018 The Village Board should notify the developer of Riverwalk on the Falls that it's defaulted on the public financing agreement, said Ald. — Tom Daykin, Milwaukee Journal Sentinel, "Menomonee Falls should change financing for upscale apartment project, alderman says," 13 Mar. 2018 The United States almost defaulted on its debts, which would have plunged the entire world economy into a financial crisis and destroyed hundreds of billions if not trillions in wealth and caused needless human misery. — Dylan Matthews, Vox, "Trump has eroded important democratic institutions. Will Democratic wins change that?," 8 Nov. 2018 In that case, supervision of the Mueller probe would default to Solicitor General Noel Francisco if Trump did not appoint a different acting attorney general. — Matt Zapotosky, The Seattle Times, "With the midterms over, special counsel Mueller faces key decisions in Russia investigation," 7 Nov. 2018 And when students began defaulting en masse around 2011, all investors could rely on was the company's word, according to the SEC complaint. — Danielle Douglas-gabriel, chicagotribune.com, "ITT's top executives settle fraud charges with SEC," 9 July 2018

These example sentences are selected automatically from various online news sources to reflect current usage of the word 'default.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.

Keep scrolling for more

Learn More about default

Dictionary Entries near default

Statistics for default

Last Updated

13 Mar 2019

Look-up Popularity

Time Traveler for default

The first known use of default was in the 14th century

See more words from the same century

Keep scrolling for more

More Definitions for default

default

noun

Financial Definition of default

What It Is

A default is a violation of a promise to pay debt in agreed amounts at agreed times.

How It Works

Let's assume Company XYZ has a line of credit for $10 million from Bank ABC, and $5 million of that line is outstanding. Company XYZ must make a $25,000 monthly payment on the outstanding debt every month.

Company XYZ is having trouble with the launch of its new product and is dealing with a recall on four of its other products. Sales dropped 75% and cash flow dried up, making it hard to make the debt payments. For a few months, Company XYZ makes late payments, and then after six months it stops making payments altogether. Bank ABC declares Company XYZ in default and demands immediate repayment of the $5 million outstanding principal.

This of course is very hard for Company XYZ to handle, and Bank ABC begins the process of seizing the collateral that secured the debt. Without these assets (let's say they're machinery), Company XYZ cannot continue production and thus closes its doors.

In general, there are six events involved in a default (in this example, we assume the borrower has obtained a mortgage for a house from the lender).

1. The borrower signs a contract agreeing to repay the lender over a period of time, usually in predetermined installments.
2. The borrower misses one or more payments.
3. The lender sends the borrower one or more notices of delinquency.
4. The borrower and the lender try to adjust the repayment schedule so that the borrower is more likely to make at least some of the payments until he or she gets back on his feet. (This process is called special forbearance or mortgage modification.)
5. The borrower still misses payments.
6. The lender sends the borrower a notice of default and initiates foreclosure proceedings.

Why It Matters

Defaults are serious matters, and they are far more serious than simply being overdue in a payment (though this can trigger a lender to declare default). Foreclosure occurs when a lender seizes and sells a borrower's collateral when the borrower has failed to repay the lender. The term is most often associated with real estate.

Defaults do long-term damage to a person's credit report and can hinder a company's ability to raise capital in the future. It is important to note that foreclosure laws vary by state, and they affect the order or duration of these steps. It is also important to note that the federal Fair Debt Collection Practices Act affects foreclosure proceedings by stipulating the methods lenders can use to go after bad debts.

Default risk is the chance that a bond issuer will not make the required coupon payments or principal repayment to bondholders. Many things can influence an issuer's default risk and in varying degrees. Examples include poor or falling cash flow from operations (which is often needed to make the interest and principal payments), rising interest rates (if the bonds are floating-rate notes, rising interest rates increase the required interest payments), or changes in the nature of the marketplace that would adversely affect the issuer (such as a change in technology, an increase in competitors or regulatory changes). The default risk associated with foreign bonds also includes the home country's sociopolitical situation and the stability and regulatory activity of its government.

Source: Investing Answers

default

noun

English Language Learners Definition of default

(Entry 1 of 2)

—used to describe something that happens or is done when nothing else has been done or can be done —usually used in the phrase by default —sometimes used before another noun

: a failure to make a payment (such as a payment on a loan)

law : failure to appear in court

default

verb

English Language Learners Definition of default (Entry 2 of 2)

: to fail to do something that legally must be done especially : to fail to make the payments you must make on a loan, mortgage, etc.

of a computer : to automatically use a particular setting, option, etc., unless you choose a different one

See the full definition for default in the English Language Learners Dictionary

default

noun

de·fault | \ di-ˈfȯlt

Kids Definition of default

(Entry 1 of 2)

: failure to do something especially that is required by law or duty If we miss the game, we'll lose by default.

default

verb

defaulted; defaulting

Kids Definition of default (Entry 2 of 2)

: to fail to do something required He defaulted on repaying the money.

Keep scrolling for more

default

noun

de·fault | \ di-ˈfȯlt, ˈdē-ˌfȯlt

Legal Definition of default

1 : failure to do something required by duty (as under a contract or by law): as

a : failure to comply with the terms of a loan agreement or security agreement especially with regard to payment of the debt

b in the civil law of Louisiana : a delay in performing under a contract that is recognized by the other party

Note: A party whose performance under a contract is delayed is not automatically in default. Rather, the law of Louisiana requires that the other party “put him or her in default” by a written or witnessed oral request for performance, by filing suit, or by invoking a specific provision in the contract. Moratory damages may be recoverable for loss caused by the delay.

2 : failure to defend against a claim in court (as by failing to file pleadings or to appear in court) — see also default judgment at judgment sense 1a

in default

: in the condition of having defaulted