MLchartDataset catalogue

Undersecured debt

Term · Law · MLC-T-LAW-005040

A debt where the value of the collateral securing the loan is less than the outstanding amount of the debt. In bankruptcy proceedings, the creditor holding undersecured debt is treated as a secured creditor up to the value of the collateral and an unsecured creditor for the remaining balance. This distinction affects the priority of repayment in liquidation or reorganization.

Table 1. Record
IdentifierMLC-T-LAW-005040
FieldLaw
Record as JSON 
{
  "id": "MLC-T-LAW-005040",
  "term": "Undersecured debt",
  "field": "Law",
  "definition": "A debt where the value of the collateral securing the loan is less than the outstanding amount of the debt. In bankruptcy proceedings, the creditor holding undersecured debt is treated as a secured creditor up to the value of the collateral and an unsecured creditor for the remaining balance. This distinction affects the priority of repayment in liquidation or reorganization.",
  "url": "https://mlchart.com/terminology/law/undersecured-debt/"
}

Record 5,155 of 5,445 in Law terminology (MLC-0107). Request the full dataset.