This shows grade level based on the word's complexity. [ kuh-lat-er-uhl ] / kəˈlæt ər əl / This shows grade level based on the word's complexity. noun Finance. property or other assets pledged by a borrower as security for the repayment of a loan: He gave the bank stocks and bonds as collateral for the money he borrowed. Anatomy. a relative descended from the same stock, but in a different line. adjective accompanying;
auxiliary: He received a scholarship and collateral aid. additional; confirming: collateral evidence;collateral security. secured by collateral: a collateral loan. aside from the main subject, course,
etc.; secondary: These accomplishments are merely collateral to his primary goal. descended from the same stock, but in a different line; not lineal: A cousin is a collateral relative. pertaining to those so descended. situated at the side: a collateral wing of a house. situated
or running side by side; parallel: collateral ridges of mountains.
Botany. standing side by side.
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Origin of collateral
First recorded in 1350–1400; Middle English, from Medieval Latin collaterālis, equivalent to col- a variant of com- + Latin laterālis “on the side of the body”; see col-1 lateral
OTHER WORDS FROM collateral
col·lat·er·al·i·ty [koh-lat-uh-ral-i-tee], /koʊˌlæt əˈræl ɪ ti/, col·lat·er·al·ness, nouncol·lat·er·al·ly, adverb
Words nearby collateral
collarette, collar rot, collat., collate, collated, collateral, collateral circulation, collateral damage, collateralize, collateralized debt obligation, collation
Dictionary.com Unabridged Based on the Random House Unabridged Dictionary, © Random House, Inc. 2022
MORE ABOUT COLLATERAL
What does collateral mean in loans?
Collateral is an asset, such as a home or a car, pledged by a borrower that a lender accepts as security against a loan in case the borrower for any reason cannot pay back the loan.
If a borrower fails to pay back a loan, the lender can seize the collateral and sell it in order to recover the loan amount.
Examples of collateral in a sentence
“A secured loan gets backed by some type of collateral, such as your vehicle or a savings account.”
—”What Is A Personal Loan?” Rocket Loans. Retrieved March 15, 2020.
“Since they don’t tend to have collateral attached, personal loans tend to come with higher interest rates than car and
mortgage loans.”
—”The Best Ways To Finance Your Budding Business” Rocket Loans. Retrieved March 15, 2020.
“By contrast, an unsecured personal loan isn’t backed by collateral, which means that a lender will decide whether you qualify based on factors like your credit history and income.”
—”What Is A Personal
Loan?” Rocket Loans. Retrieved March 15, 2020.
Words related to collateral
ancillary, accessory, adjuvant, attendant, auxiliary, complementary, concomitant, coordinate, dependent, incident, lateral, parallel, roundabout, satellite, side, sub, subordinate, subsidiary, supporting, tributary
How to use collateral in a sentence
For the medical community, in particular, the war on drugs produced widespread collateral damage in the form of treatments undiscovered, in the form of human suffering unalleviated, in the form of scientific knowledge unattained.
Soon, even their dream home was at risk as collateral for a line of credit from AvidBank.
Most of these sites—notably Compound and Maker—rely on a decentralized network of lenders and borrowers, who use smart contracts to arrange collateral and payment terms.
Sid Coelho-Prabhu, who is leading the Coinbase wallet initiative, says any loans consumers make on the platform are secure, since they are backed by borrowers’ collateral.
The move comes in the wake of mounting concern about the scale of predatory lending given the proliferation of startups offering online, collateral-free loans in Kenya.
Horace had been playing poker with a mortician, who had put the car up as collateral.
In 2008, it was looking at a death spiral: cut credit ratings, claims on the policies, and collateral calls.
The euphemism of “collateral damage” comes with that package.
This can cause women to end up as collateral, even when they themselves have committed no wrong.
That night Gasol hobbled off his home court with a torn medial collateral ligament in his left knee.
From one of these, which may be considered as collateral primary meanings, it must therefore be deduced.
The commentary is not very helpful, and discusses collateral questions rather than the dream itself.
The direct and collateral hereditary tendency appears to indicate a diathetic origin.
At the front it has a one-sided irregular look; and this is owing to the non-completion of a collateral spire.
If the horse is the source, or principal trunk, the zebra and the ass will be collateral branches.
British Dictionary definitions for collateral
noun
a person, animal, or plant descended from the same ancestor as another but through a different line
adjective
situated or running side by side
descended from a common ancestor but through different lines
serving to support or corroborate
aside from the main issue
Derived forms of collateral
collaterally, adverb
Word Origin for collateral
C14: from Medieval Latin collaterālis, from Latin com- together + laterālis of the side, from latus side
Collins English Dictionary - Complete & Unabridged 2012 Digital Edition © William Collins Sons & Co. Ltd. 1979, 1986 © HarperCollins Publishers 1998, 2000, 2003, 2005, 2006, 2007, 2009, 2012
Cultural definitions for collateral
Property or its equivalent that a debtor deposits with a creditor to guarantee repayment of a debt.
The New Dictionary of Cultural Literacy, Third Edition Copyright © 2005 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.