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Vocabulary Entry

collateral

|noun β€’ adjective
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noun

Something pledged as security for repayment of a loan or performance of an obligation.

Example Sentences

"The bank required collateral to secure the loan."

"He offered his car as collateral for the mortgage."

"Without collateral, it’s difficult to get a large loan."

adjective

Secondary; serving as a backup or additional option.

Example Sentences

"The collateral damage from the explosion was substantial."

"She had collateral responsibilities in addition to her main job."

"Using collateral evidence can support the main argument."

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