collateralize

verb
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 For context, private lenders do not make loans collateralized by future Social Security payments. Michael Taylor, ExpressNews.com, "Taylor: Some bad news on effects of coronavirus on Social Security," 22 May 2020 To give a concrete example: Last week's $1.5 trillion offer to the financial industry was essentially the equivalent of the short-term collateralized loans individuals can get at pawn shops. Jeff Spross, TheWeek, "The basic economic misunderstanding that's screwing up the coronavirus response," 18 Mar. 2020 Fed repo operations take in U.S. Treasury, agency and mortgage bonds from eligible banks in a de facto short-term loan of central-bank cash, collateralized by the bonds. Michael S. Derby, WSJ, "Fed’s $100 Billion Repo Intervention Falls Short Of Bank Demand," 4 Mar. 2020 Fed repo interventions take in U.S. Treasurys, agency and mortgage bonds from eligible banks in what is effectively a short-term loan of central-bank cash, collateralized by the bonds. Michael S. Derby, WSJ, "Overall Fed Temporary Liquidity Ebbed on Thursday to $165.5 Billion," 7 Feb. 2020 Fed repo interventions take in Treasurys, agency and mortgage bonds from the dealers, in what is effectively a short-term loan of central-bank cash, collateralized by the bonds. Michael S. Derby, WSJ, "Fed Intervenes With $45.55 Billion Weekend Repo, But Overall Liquidity Ticks Down," 31 Jan. 2020 In fact, there are more than $1 trillion worth of overnight repo transactions collateralized with US government debt occurring every day. Alexander Saeedy, Fortune, "Why the Repo Market is such a Big Deal—and Why Its $400 Billion Bailout is so Unnerving," 23 Sep. 2019 The loans were collateralized by WE Holdings’ shares of stock in WeWork, and were repaid by WeWork’s repurchase of the shares. Michael Hiltzik, Los Angeles Times, "Column: WeWork carries Silicon Valley’s ‘unicorn’ craze to its absurd limits," 12 Sep. 2019 That requires power projection, so China has turned a dozen countries around the world into client states through debt peonage, collateralizing abusive loans with concessions for military bases and deep-water ports. Nicholas Phillips, National Review, "The Trade War Is Smart Geopolitics," 5 Sep. 2019

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.

See More

First Known Use of collateralize

1941, in the meaning defined at sense 1

Keep scrolling for more

Learn More about collateralize

Time Traveler for collateralize

Time Traveler

The first known use of collateralize was in 1941

See more words from the same year

Statistics for collateralize

Last Updated

27 May 2020

Cite this Entry

“Collateralize.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/collateralize. Accessed 10 Jul. 2020.

Keep scrolling for more

More Definitions for collateralize

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

What made you want to look up collateralize? Please tell us where you read or heard it (including the quote, if possible).

WORD OF THE DAY

See Definitions and Examples »

Get Word of the Day daily email!

Test Your Vocabulary

Words for Summer: A Quiz

  • a closeup of a sunflower
  • Which of the following words means “of or relating to summer”?
Spell It

Can you spell these 10 commonly misspelled words?

TAKE THE QUIZ
Dictionary Devil

Test Your Knowledge - and learn some interesting things along the way.

TAKE THE QUIZ
Love words? Need even more definitions?

Subscribe to America's largest dictionary and get thousands more definitions and advanced search—ad free!