adjective
- secured or backed by collateral (assets pledged as security for a loan)
Usage: finance/legal
verb
- past tense and past participle of collateralize; to pledge or use as collateral
Usage: finance/legal
Examples
- The bank offered a collateralized loan at a lower interest rate.
- She collateralized her home to secure a business loan.
- Collateralized debt obligations played a major role in the 2008 financial crisis.
- The borrower collateralized the equipment as security for the line of credit.
- Most mortgages are collateralized by the property itself.
- He collateralized his investment portfolio to obtain additional funding.