Collateral
type: Class
alternative label: Guarantee
alternative label: Pledge
alternative label: Security Interest
subclass of: R8Gt68Hspze0zsEdYzUS2Fq
definition: Collateral is an asset or property pledged by a borrower to a lender as security for a loan or other obligation, to mitigate the risk of default. If the borrower fails to meet the obligations, the lender has the right to seize the collateral.