subprime

adjective

sub·​prime ˈsəb-ˌprīm How to pronounce subprime (audio)
1
: having or being an interest rate that is higher than a prime rate and is extended chiefly to a borrower who has a poor credit rating or is judged to be a potentially high risk for default (as due to low income)
subprime mortgages
a subprime loan
2
: extending or obtaining a subprime loan
subprime lenders
subprime borrowers

Examples of subprime in a Sentence

Recent Examples on the Web
Examples are automatically compiled from online sources to show current usage. Read More Opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback.
Yet Dundon remained a player among subprime auto lenders. Tony Schick, ProPublica, 3 Oct. 2025 Capital One has the most exposure to subprime borrowers and stands to feel the impact of consumer weakness, said Jeff Marks, director of portfolio analysis for the Club. Natasha Abellard, CNBC, 30 Sep. 2025 Parts supplier First Brands is over its skis on a $6 billion debt pile and an additional, murky pile of off-balance sheet debt, days after a dealership catering to subprime buyers filed for Chapter 11. Liz Hoffman, semafor.com, 23 Sep. 2025 But Tricolor’s problems aren’t likely to upend the broader financial services industry the way the subprime mortgage lenders did in 2008, nearly bringing about a new Depression. Chris Isidore, CNN Money, 12 Sep. 2025 See All Example Sentences for subprime

Word History

First Known Use

1995, in the meaning defined at sense 1

Time Traveler
The first known use of subprime was in 1995

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Cite this Entry

“Subprime.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/subprime. Accessed 8 Oct. 2025.

Legal Definition

subprime

adjective
sub·​prime ˈsəb-ˌprīm How to pronounce subprime (audio)
1
: having or being an interest rate that is higher than a prime rate and is extended especially to low-income borrowers
subprime mortgages
2
: extending or obtaining a subprime loan
subprime lenders
subprime borrowers

More from Merriam-Webster on subprime

Last Updated: - Updated example sentences
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