default

First Foundation alleges that the Cosbys stopped repayments on their loan on June 1 and that the couple were served with a default notice on Nov. 18.

For 50 years, it repeatedly convinced international lenders it had changed its ways, only to slide back into default, instability and inflation.

Some investments made on the basis of the undisclosed commissions then defaulted, leaving customers with substantial losses.

But spreads remain near historic lows, indicating that investors are only slightly more worried about potential defaults.

When someone can’t make ends meet and suffers dire consequences, the mainstream default is to see a failing individual rather than a failing system.