Secured Debt
/ˈsɪkjʊərd dɛt/
Definitions
- (n.) A debt or loan that is backed by collateral to reduce lender risk.
The borrower defaulted on the secured debt, so the creditor repossessed the collateral.
Forms
- secured debt
Related terms
See also
Commentary
Secured debt is distinct from unsecured debt because it involves specific collateral, affecting creditor remedies and priority in insolvency.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.