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overcollateralization. In DICTIOUS you will not only get to know all the dictionary meanings for the word
overcollateralization, but we will also tell you about its etymology, its characteristics and you will know how to say
overcollateralization in singular and plural. Everything you need to know about the word
overcollateralization you have here. The definition of the word
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English
Etymology
From over- + collateralization.
Noun
overcollateralization (countable and uncountable, plural overcollateralizations)
- The act or process of overcollateralizing.
2024 January 28, Michael Taylor, “What Is Overcollateralized and How Does It Work?”, in Shifting Shares:The specific requirements for overcollateralization can vary depending on the type of loan or financial arrangement. Lenders often assess the risk profile of borrowers to determine the appropriate level of overcollateralization needed. For example, in mortgage-backed securities, the overcollateralization ratio may be higher to account for the potential volatility in the housing market.