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collateral
(redirected from collaterally)

   Also found in: Dictionary/thesaurus, Medical, Legal, Encyclopedia, Wikipedia, Hutchinson 0.03 sec.
Collateral
Properties or assets that are offered to secure a loan or other credit. Collateral becomes subject to seizure on default.

Notes:
Collateral is a form of security to the lender in case the borrower fails to pay back the loan.

For example, if you open a mortgage, your collateral would be your house. In margin trading, the securities in your account act as collateral in the case of a margin call.


Collateral
In the context of project financing, additional security pledged to support the project financing.

collateral
Assets pledged as security for a loan. In the event that a borrower defaults on the terms of a loan, the collateral may be sold, with the proceeds used to satisfy any remaining obligations. High-quality collateral reduces risk to the lender and results in a lower rate of interest on the loan.

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Current technology allows fermentation inhibitors, collaterally formed primarily during the process of separating cellulose and hemicellulose from soft-biomass, to interfere with the function of microorganisms that convert sugar into alcohol, leading to extremely low ethanol yield.
Ask the family of a Marine killed in Falluja or of an Iraqi child collaterally damaged by an American bombing raid how much is too much.
International diplomacy focuses on Hamas' alleged "intransigence" and "rejectionism," and the subsequent need for a cut-off of aid to the Palestinian Authority--and, collaterally, to jobless, hungry Palestinians.
 
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