What is an accelerations clause?

An acceleration clause is a clause in a mortgage contract that allows the lender to declare the entire amount of the loan due immediately, if the borrower does not follow the payment terms or terms of the agreement. This means that instead of making payments for the duration of the loan, the borrower must pay all of the remaining loan balance in full. In Oklahoma, the acceleration clause is triggered when the borrower has defaulted on the loan and is behind on mortgage payments. When the acceleration clause is triggered, the foreclosure process begins. The lender has the right to pursue foreclosure if the default is not cured within a certain time period. In Oklahoma, this time period is generally 30 days. A foreclosure sale must also be completed within four months from the date when the acceleration clause was triggered. If the foreclosure sale is completed within this time frame, the lender can collect the remaining loan balance from the proceeds of the sale.

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What is an accelerations clause?

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