Technical Default

You borrow $100,000 to build a bomb shelter deep underground in your backyard. You never sent in any of the payments. You assumed the apocalypse would come before you had to. Now you're three payments behind, just waiting for the bank to start trying to repossess your shelter (or for the apocalypse to make a delayed appearance).

You are in technical default. You've violated the rules of the loan to such a degree that, by the contract stipulations, you have defaulted. However, legal action hasn't been taken yet. The bank hasn't yet filed the paperwork to get the legal proceedings going. But they will. Oh, they will.