--- title: Understanding the Terms of an Acceleration Clause in Mortgages description: Find out what is meant by an 'Acceleration Clause' in a Mortgage Agreement, commonly used by lenders to guard against non-payment for homes. Learn the terms and conditions associated with this type of clause. image: https://pdxdirectrealty.com/hubfs/Imported_Blog_Media/image_104-3.png --- [Skip to content](https://pdxdirectrealty.com/articles/acceleration-clause-in-mortgages-understanding-the-terms#main-content) [![PDX Direct Realty](https://pdxdirectrealty.com/hs-fs/hubfs/Black%20logo%20-%20no%20background-2.png?width=150&height=147&name=Black%20logo%20-%20no%20background-2.png)](https://pdxdirectrealty.com/) - Services Show submenu for Services - [Listing Services](https://pdxdirectrealty.com/listing-services) - [Buyer Services](https://pdxdirectrealty.com/buyer-services) - [Additional Services](https://pdxdirectrealty.com/additional-services) - [About Us](https://pdxdirectrealty.com/about-us) - [Customer Portal](https://pdxdirectrealty.com/customer-portal) Open main navigation Close main navigation - Services Show submenu for Services - [Listing Services](https://pdxdirectrealty.com/listing-services) - [Buyer Services](https://pdxdirectrealty.com/buyer-services) - [Additional Services](https://pdxdirectrealty.com/additional-services) - [About Us](https://pdxdirectrealty.com/about-us) - [Customer Portal](https://pdxdirectrealty.com/customer-portal) - [Contact Us](https://pdxdirectrealty.com/contact-us) [Contact Us](https://pdxdirectrealty.com/contact-us) [All posts](https://pdxdirectrealty.com/articles/all) December 22, 2023 # Acceleration Clause in Mortgages: Understanding the Terms By  PDX Direct  ·  2 minute read Find out what is meant by an 'Acceleration Clause' in a Mortgage Agreement, commonly used by lenders to guard against non-payment for homes. Learn the terms and conditions associated with this type of clause. ## What Is An Acceleration Clause in Mortgages? An acceleration clause is commonly found in a mortgage agreement. It is a clause that states if the borrower fails to meet the agreed upon loan repayment terms, the lender can ask for the full amount of the debt to be repaid immediately. This clause can be found in all types of loans, but it is especially important in mortgage agreements, because of the large amounts of money involved. ## Why Is An Acceleration Clause Included in a Mortgage? When a borrower takes out a mortgage loan, they are assuming a large financial responsibility. Acceleration clauses exist to protect the lender's interests, in the event that the borrower defaults on their loan. By including the clause in the agreement, the lender is giving themselves the legal right to accelerate the repayment of the loan, should the borrower become delinquent. ## What Does an Acceleration Clause Specify? An acceleration clause typically specifies that the lender can call the entire loan due immediately, if the borrower fails to make payments on time or defaults on other loan terms and conditions. The clause also outlines the process that will take place should the loan be accelerated, such as the amount of the accelerated balance and any additional fees that may be due. ## Under What Circumstances Would an Acceleration Clause be Enforced? The most common circumstances under which an acceleration clause would be enforced is when the borrower fails to make timely payments. In some cases, the lender may also use the clause if the borrower defaults in other ways, such as by not paying taxes or insurance premiums, or by not keeping up with maintenance and repairs on the property. ## What Happens if an Acceleration Clause is Enforced? If an acceleration clause is enforced, the lender would require the borrower to pay the entire remaining balance of the loan in full. This could result in a dramatically increased monthly payment, as the lender is no longer able to stretch the repayment period over a longer period of time. In this case, the borrower may have no other option than to sell the house to pay off the loan. Therefore, it's important to keep up with payments and comply with the terms of the loan to avoid such a drastic outcome. ## More Articles to Consider Reading [Crucial Insights into Mortgage Insurance: What You Need to Know](https://pdxdirectrealty.com/articles/crucial-insights-into-mortgage-insurance-what-you-need-to-know) [Mortgage Rate Lock: When and How to Secure Your Rate](https://pdxdirectrealty.com/articles/mortgage-rate-lock-when-and-how-to-secure-your-rate) [Decoding the Mortgage Commitment Letter](https://pdxdirectrealty.com/articles/decoding-the-mortgage-commitment-letter) [The Power of Mortgage Preapproval: Your Key to Homeownership](https://pdxdirectrealty.com/articles/the-power-of-mortgage-preapproval-your-key-to-homeownership) [Decoding Debt-to-Income Ratio in Mortgages](https://pdxdirectrealty.com/articles/decoding-debt-to-income-ratio-in-mortgages) [Deed of Trust vs. Mortgage: Key Differences Unveiled](https://pdxdirectrealty.com/articles/deed-of-trust-vs-mortgage-key-differences-unveiled) Share: [facebook-f icon](http://www.facebook.com/share.php?u=https://pdxdirectrealty.com/articles/acceleration-clause-in-mortgages-understanding-the-terms) [linkedin-in icon](http://www.linkedin.com/shareArticle?mini=true&url=https://pdxdirectrealty.com/articles/acceleration-clause-in-mortgages-understanding-the-terms) [twitter icon](https://twitter.com/intent/tweet?url=https://pdxdirectrealty.com/articles/acceleration-clause-in-mortgages-understanding-the-terms) [pinterest-p icon](http://pinterest.com/pin/create/link/?url=https://pdxdirectrealty.com/articles/acceleration-clause-in-mortgages-understanding-the-terms) [envelope icon](mailto:?body=https://pdxdirectrealty.com/articles/acceleration-clause-in-mortgages-understanding-the-terms) [![PDX Direct Realty](https://pdxdirectrealty.com/hs-fs/hubfs/Black%20logo%20-%20no%20background-2.png?width=150&height=147&name=Black%20logo%20-%20no%20background-2.png "PDX Direct Realty")](https://pdxdirectrealty.com/) [List@PDXDirectRealty.com](mailto:List@PDXDirectRealty.com) (503) 847-2199 M-F 8am-5pm PST 3225 SW 87th Ave. #25653 Portland, OR 97225 Our Services - [Property Listing Services](https://pdxdirectrealty.com/listing-services) - [Home Buyer Services](https://pdxdirectrealty.com/buyer-services) - [Business Listing Services](https://pdxdirectrealty.com/contact-us) - [Additional Services](https://pdxdirectrealty.com/additional-services) Company Information - [About Us](https://pdxdirectrealty.com/about-us) - [Contact Us](https://pdxdirectrealty.com/contact-us) - [Terms of Service](https://pdxdirectrealty.com/terms-of-service) - [Privacy Policy](https://legal.hubspot.com/privacy-policy) - [Real Estate Articles](https://pdxdirectrealty.com/articles) **Customer Portal** - [Submit Listing Data](https://pdxdirectrealty.com/submission-options) - [Submit Photos](https://pdxdirectrealty.com/photo-submission) - [Submit Changes](https://pdxdirectrealty.com/submit-changes-form) - [Submit Documents](https://pdxdirectrealty.com/document-submission-form) Copyright © 2026, PDX Direct Realty - All Rights Reserved - Licensed in the State of Oregon ```json { "@context" : "https://schema.org", "@type" : "BlogPosting", "author" : { "@type" : "Person", "name" : "PDX Direct", "url" : "https://pdxdirectrealty.com/articles/author/pdx-direct" }, "dateModified" : "2023-12-22T19:44:46.750Z", "datePublished" : "2023-04-19T07:00:00.000Z", "headline" : "Understanding the Terms of an Acceleration Clause in Mortgages", "image" : [ "https://pdxdirectrealty.com/hubfs/Imported_Blog_Media/image_104-3.png" ], "mainEntityOfPage" : { "@id" : "https://pdxdirectrealty.com/articles/acceleration-clause-in-mortgages-understanding-the-terms", "@type" : "WebPage" }, "publisher" : { "@type" : "Organization", "logo" : { "@type" : "ImageObject", "url" : "https://pdxdirectrealty.com/hubfs/Color%20logo%20-%20no%20background.png" }, "name" : "PDX Direct Realty" } } ``` ```json { "@context" : "http://schema.org", "@type" : "Article", "author" : { "@type" : "Person", "name" : [ "PDX Direct" ] }, "datePublished" : "2023-04-19T07:00:00+0000", "description" : "Find out what is meant by an 'Acceleration Clause' in a Mortgage Agreement, commonly used by lenders to guard against non-payment for homes. 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