Intercurrent and Collateral

• (a.) Running between or among; intervening.
• (n.) Something intervening.
• (a.) Said of diseases occurring in the course of another disease.
• (a.) Not belonging to any particular season.

noun

• A security pledged for the repayment of a loan.

adjective

• Descended from a common ancestor but through different lines.
  • usage: "cousins are collateral relatives"; "an indirect descendant of the Stuarts"
  • synonyms: indirect
• Serving to support or corroborate.
  • usage: "collateral evidence"
  • synonyms: confirmative, confirming, confirmatory, corroborative, corroboratory, substantiating, substantiative, validating, validatory, verificatory, verifying
• Accompany, concomitant.
  • usage: "collateral target damage from a bombing run"
• Situated or running side by side.
  • usage: "collateral ridges of mountains"

• (a.) Coming from, being on or directed toward, the side; as, collateral pressure.
• (a.) Related to, but not strictly a part of, the main thing or matter under consideration; hence, subordinate; not chief or principal; as, collateral interest; collateral issues.
• (a.) Descending from the same stock or ancestor, but not in the same line or branch or one from the other; -- opposed to lineal.
• (n.) Collateral security; that which is pledged or deposited as collateral security.
• (n.) A collateral relative.
• (a.) Acting in an indirect way.
• (a.) Tending toward the same conclusion or result as something else; additional; as, collateral evidence.

Assets with monetary value, such as stocks, bonds, or real estate, that are used to guarantee a loan are considered' Collateral'. If the borrower defaults and fails to fulfill the terms of the loan agreement, the collateral, or some portion of it, becomes the property of the lender. For example, if you borrow money to buy a car, the car is the collateral. If you default, the lender can repossess the car and sell it to recover the amount you borrowed. Loans guaranteed by collateral are also known as secured loans.