collateral

[kuh-lat-er-uhl]

noun

1. 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.

2. Anatomy.

   1. a subordinate or accessory part.

   2. a side branch, as of a blood vessel or nerve.

   3. collateral circulation.

3. a relative descended from the same stock, but in a different line.

adjective

1. accompanying; auxiliary.

   He received a scholarship and collateral aid.

2. additional; confirming.

   collateral evidence;

   collateral security.

3. secured by collateral.

   a collateral loan.

4. aside from the main subject, course, etc.; secondary.

   These accomplishments are merely collateral to his primary goal.

5. descended from the same stock, but in a different line; not lineal.

   A cousin is a collateral relative.

6. pertaining to those so descended.

7. situated at the side.

   a collateral wing of a house.

8. situated or running side by side; parallel.

   collateral ridges of mountains.

9. Botany.,  standing side by side.

collateral

/ kə-, kɒˈlætərəl /

noun

1. 1. security pledged for the repayment of a loan

   2. ( as modifier )

      a collateral loan

2. a person, animal, or plant descended from the same ancestor as another but through a different line

adjective

1. situated or running side by side

2. descended from a common ancestor but through different lines

3. serving to support or corroborate

4. aside from the main issue

5. uniting in tendency

collateral

1. Property or its equivalent that a debtor deposits with a creditor to guarantee repayment of a debt.

Other Word Forms

• collaterality noun
• collateralness noun
• collaterally adverb

Word History and Origins

Origin of collateral¹

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”; col- ¹ lateral

Word History and Origins

Origin of collateral¹

C14: from Medieval Latin collaterālis, from Latin com- together + laterālis of the side, from latus side

Example Sentences

"He hoped to minimise any collateral damage or injury to the detainees and any other innocent people," she added.

From BBC

The IDF told us that it is "committed to mitigating civilian harm during operational activity" and that it "makes great efforts to estimate and consider potential civilian collateral damage in its strikes".

From BBC

There was always going to be collateral damage from Isak's stance at Newcastle and Wolves are feeling that now.

From BBC

However, emails seen by the BBC indicated they were offered as collateral for a loan.

From BBC

The immediate collateral damage in shaping a United squad to fit that system was the discarding of five players - four of whom are senior internationals who prefer to play wide.

From BBC

Related Words

• ancillary 

When To Use

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.