David has been laid off from his job. carey, his spouse, only works part time and has been trying to pick up extra shifts. they have missed their third home loan payment this month. their lender has called the entire balance due and payable immediately. which clause applies to their situation?

   Acceleration Clause

Explanation:  It is an acceleration clause in a contract or a provision of a contract whereby a lender is entitled to require the borrower to repay all debt within a period of time if some of the terms of the contract are not met by then. When the lender refers to this clause, it gives reasons for invoking this clause, in this case it is not the payment of regular monthly instalments over the last three months. That is why it is called the acceleration clause, because by calling this clause one who owes certain monthly instalments under the contract, if he has not paid by then, to speed up payment, that is, to repay the entire debt within a specified period.

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