To purchase a farmhouse, Clay obtains a mortgage loan from Debit Bank. Clay defaults on the payments on the loan. The bank has

Question

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When a borrower defaults on a mortgage loan, the lender (in this case, Debit Bank) has the right to foreclose on the mortgaged property. This means the bank can take legal steps to take possession of the property and sell it to recover the loan amount. Options B, C, and D are not rights automatically granted to the bank upon default; they may be negotiated or offered under certain circumstances, but are not obligations or automatic options.

To Purchase a Farmhouse, Clay Obtains a Mortgage Loan from Debit