deficiency judgment

Definition of "deficiency judgment"
  1. A court's decision requiring a borrower to pay the remaining debt when an asset's sale after foreclosure does not cover the owed amount
How to use "deficiency judgment" in a sentence
  1. The bank sought a deficiency judgment after the foreclosure sale of the house didn't fully cover the mortgage debt.
  2. John feared a deficiency judgment when his car was repossessed and sold for less than his outstanding loan.
  3. The combined effect of foreclosure on her home and the subsequent deficiency judgment severely impacted her credit score.

Provide Feedback
Browse Our Legal Dictionary
# A B C D E F G H I J K L M N O P Q R S T U V W X Y Z