Notice of Default Form

Notice of Default Form. You’ve sent notice after notice requesting payment, but your account holder just isn’t following through.  Action must 

be taken to inform them of their current delinquent status and what steps you plan to take to recoup what’s owed to you – even when it means reselling the said property.

Use this Notice of Default Form to provide proper notification to the parties involved.

You should break things down for them so there are little unanswered questions on why their account is in default – i.e. are they behind on their principal, their taxes, insurance, etc.

You can reuse this template to fit the circumstances at hand by easily doing a little tweaking!

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NOTICE OF DEFAULT

 

To __________________

   ___[address]______

 

_________as trustee (or beneficiary) under that certain deed of transfer in trust executed by ___________, as Trustor, to ____________, as Trustee and ______________, as beneficiary, dated _____________, recorded in Book ____, Page ___ of official records in the office of the County Recorder of _______  County, State of ____________, hereby give(s) notice that a breach of the obligation for which such transfer in trust is security has occurred, the nature of said breach being the failure to [state each item of default , such as the failure to pay principal, or installments thereof, interest, taxes, insurance, etc.], and that the Trustee (or beneficiary) elects to sell, or cause to be sold the trust property in order to satisfy said obligation.

 

                [Insertion if default is curable]

 

                             NOTICE

 

YOU MAY HAVE THE RIGHT TO CURE THE DEFAULT DESCRIBED

HEREIN AND REINSTATE THE MORTGAGE OR DEED OF TRUST.

SECTION ______ OF THE  CIVIL CODE PERMITS CERTAIN DEFAULTS

TO BE CURED UPON PAYMENT OF THE AMOUNTS REQUIRED BY THAT

SECTION WITHOUT REQUIRING PAYMENT OF THAT PORTION OF

PRINCIPAL AND INTEREST WHICH WOULD NOT BE DUE HAD NO

DEFAULT OCCURRED.  WHERE REINSTATEMENT IS POSSIBLE, IF THE

DEFAULT IS NOT CURED WITHIN _______________ FOLLOWING THE

RECORDING OF THIS NOTICE, THE RIGHT OF REINSTATEMENT WILL

TERMINATE AND THE PROPERTY MAY BE SOLD.

 

TO DETERMINE IF REINSTATEMENT IS POSSIBLE AND THE

AMOUNT, IF ANY, NECESSARY TO CURE THE DEFAULT, CONTACT THE

BENEFICIARY OR MORTGAGEE OR THEIR SUCCESSORS IN INTEREST,

WHOSE NAME AND ADDRESS IS ________ AT ______________________.

 

ANY FAILURE TO COMPLY WITH THE PROVISIONS OF THIS

SUBDIVISION SHALL NOT AFFECT THE VALIDITY OF A SALE IN

FAVOR OF A BONA FIDE PURCHASER OR THE RIGHTS OF AN

ENCUMBRANCER FOR VALUE AND WITHOUT NOTICE.

 

Dated:  ______________

 

                                  ________________________

                                  [Trustee or Beneficiary]


Related Pages
Promissory Note Installment with Acceleration Clause
Promissory Note Installment Short Form
Note Secured by Deed of Trust Form

Other Pages You Might Like
Demand by Secured Party for Possession of Collateral Form
Demand on Guarantor Form
Promissory Note Long Form


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