These resources are brought to you by the Cooperative Extension System and your Local Institution

Personal Finance Home

What is an acceleration clause in a loan contract?

Last Updated: October 09, 2009

View as web page


An acceleration clause is language in a loan contract that gives the lender the right to declare the entire balance immediately due if the borrower misses a payment or otherwise violates terms of the loan agreement. The process of invoking the acceleration clause is referred to as "accelerating" a loan.

We would like your feedback on this Personal Finance Frequently Asked Question.

Browse related Faqs by tag: personal finance, credit


Have a specific question? Try asking one of our Experts

Unlike most other resources on the web, we have experts from Universities around the country ready to answer your questions.


View this page: