Never once during those episodes has the United States defaulted on interest payments on the national debt nor has it had to suspend or reduce Social Security payments, although the prospect of both calamities occurring is always used to scare the American public into supporting an unconditional increase in the debt limit fairly quickly after the debt ceiling is reached.

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The US has never defaulted on its interest payments to bond holders, except once in the 1970s due to a technical error in delivering the bonds.

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McKinnie committed to paying back the principal, plus interest, which he defaulted on (by missing a scheduled payment) soon after executing the loan documents.

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Therefore, Chase did not have to provide written notice before raising credit card interest rates to account holders who defaulted on a payment.

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As servicers, they DO make money on defaulted loans and foreclosures because fees and penalties and interest can be added on until the cows come home.

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But by June last year ATI had defaulted on its term loan and likely had not paid interest on its term loan for months.

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According to Mr. Chappell's calculations, investors' claims extend to the principal and interest accrued since 1984, when the original loans defaulted.

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It would ensure that neither interest on the debt nor Social Security payments would be defaulted on if the federal government were precluded from borrowing more money.

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Many of the borrowers who could not pay off their debt have already defaulted, while others have diligently paid down their balances and used other forms of payment to avoid the high interest rate penalties.

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