What does Acceleration Clause mean? Read on to discover the definition & meaning of the term Acceleration Clause - to help you better understand the language used in insurance policies.
An acceleration clause is a loan contract provision that gives the lender the right to require the borrower to pay back part or all of the remaining payments on a loan under specified conditions. As the name suggests, it accelerates repayment. The clause details the reasons the lender can demand loan repayment.
We hope the you have a better understanding of the meaning of Acceleration Clause.