monetary default

1. Investing: The point on the National Best Bid and Offer (NBBO) at which market orders submitted through International Securities Exchange are executed when an eligible contra-order is available. Limit orders are executed at the midpoint when the midpoint price is better than the limit price.

2. Failure by a borrower to make payments on principal or interest by a specified date to the lender. For example, a mortgagor who fails to make payment to the lender after considering any forbearance is at monetary default.