col·​lat·​er·​al·​ize | \ kə-ˈla-t(ə-)rə-ˌlīz How to pronounce collateralize (audio) \
collateralized; collateralizing

Definition of collateralize

transitive verb

1 : to make (a loan) secure with collateral
2 : to use (something, such as securities) for collateral

Examples of collateralize in a Sentence

Recent Examples on the Web

The second leverage cycle was in the financial markets, comprising new debt securities collateralized by mortgages. Emily Stewart, Vox, "How close are we to another financial crisis? 8 experts weigh in.," 18 Sep. 2018 Unlike most investors, the EIF doesn’t have to collateralize trades with cash or government bonds as it is seen as unlikely to default. Max Colchester, WSJ, "Taxpayers Are on the Hook in Banks’ Financial Engineering," 23 May 2018 Jason Maloni, a spokesperson for Manafort, referred NBC News to his previous statements saying that Manafort's loans were over-collateralized and above-market rate. Tom Winter And Hallie Jackson, NBC News, "Mueller asking if Manafort promised banker White House job in return for loans," 21 Feb. 2018 The loan from Fortress is collateralized by Theranos’s patent portfolio and the deal grants Fortress warrants for 4% of the company’s equity, Ms. Holmes told investors in her email. John Carreyrou, WSJ, "Blood-Testing Firm Theranos Gets $100 Million Lifeline From Fortress," 24 Dec. 2017 The records also show that many properties are cross-collateralized and financed by real estate speculators rather than traditional lenders. Edmund H. Mahony,, "Judge Calls Fugitive Hartford Lawyer 'Mind-Boggling'," 25 July 2017 The bonds AEG proposed the city borrow were fully collateralized by AEG, but sources tell Billboard there was always a concern that AEG's financial projections regarding were too optimistic and might not pan out. Dave Brooks, Billboard, "AEG Drops Out of KeyArena Project, Ceding Project to Leiweke," 5 June 2017

These example sentences are selected automatically from various online news sources to reflect current usage of the word 'collateralize.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.

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First Known Use of collateralize

1941, in the meaning defined at sense 1

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Time Traveler for collateralize

The first known use of collateralize was in 1941

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More Definitions for collateralize


transitive verb
col·​lat·​er·​al·​ize | \ kə-ˈla-tə-rə-ˌlīz, -ˈla-trə- How to pronounce collateralize (audio) \
collateralized; collateralizing

Legal Definition of collateralize

1 : to make (a loan) secure with collateral
2 : to use (as securities) for collateral

Comments on collateralize

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