The section of a loan agreement that describes circumstances in which the creditor obtains additional rights is called th

Question Completion:

The section of a loan agreement that describes circumstances in which the creditor obtains additional rights is called the section.

a. events of compliance

b. certificate of compliance

c. events of termination

d. events of default

The section of a loan agreement that describes circumstances in which the creditor obtains additional rights is called the section.

d. events of default

Explanation:

In loan covenants, an event of default is the meeting of some specified conditions or thresholds that allow the lender or creditor to demand immediate and full repayment of a debt or meeting of an obligation.  Events of default may  relate to delinquent payment, breach or insolvency, etc.  As a breach of a contract, an event of default is a serious failure on the borrower to observe a provision of the contract.  This leads to the lender calling for the termination of the contract.