Trilobyte
  • 📖Trilobyte Documentation
  • User Docs
    • Introduction
      • What problem is the protocol trying to address?
      • Use case examples
    • Vault Overview
    • For Borrowers
      • The Vault phases
        • The Funding Phase
        • The Approval phase
        • The Lending Phase
        • The Completed Phase
        • The Closed Phase
        • The Default Phase
      • Receiving a loan
    • For Investors
      • Loan financing
      • Withdrawals
    • Vault payments
    • Protocol Revenue and Fees
    • Default Procedure
    • Governance
  • TECHNICAL DOCS
    • Smart Contract Architecture
  • Stellar futurenet tests
    • Freighter wallet
    • Testing information
    • Testing deposits and withdrawals for a Vault in Funding status
    • Testing approval and withdrawal of a loan by the borrower
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  1. User Docs
  2. For Borrowers
  3. The Vault phases

The Default Phase

If the cash flows paid by the Payers are not sufficient to allow a Vault to meet its payment schedule, after a predetermined grace period the Treasury will mark The Vault as defaulted. When this happens, the Borrower, the Treasury and the Payers will need to negotiate how the repayment of the loan will be executed.

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Last updated 2 years ago