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TeachMeFinance.com - explain Defaulter historic definition... Defaulter -- One who misappropriates or fails to account for money or property with which he is entrusted. On the London Stock Exchange one who has failed to meet his bargains (contracts) is a defaulter and ceases to be a member. For additional information see Hammered. About the author Mark McCracken Author: Mark McCracken is a corporate trainer and author living in Higashi Osaka, Japan. He is the author of thousands of online articles as well as the Business English textbook, "25 Business Skills in English". Copyright © 2007 by Mark McCracken, All Rights Reserved. TeachMeFinance.com is an informational website, and should not be used as a substitute for professional financial or legal advice. TeachMeFinance.com and its owner recommend consultation with a professional financial advisor prior to any investment or financial decision. Please read our disclaimer.