Collateral Account definition: Copy, customize, and use instantly
Introduction
The term “Collateral Account” refers to a financial account used to hold assets as security for the performance of an obligation or the repayment of a loan. It is crucial in many agreements, particularly those involving lending, to ensure the borrower can fulfill their obligations. The assets in the collateral account can be used to mitigate risk for the lender in case of default.
Below are various examples of how "Collateral Account" can be defined in different contexts. Copy the one that fits your needs, customize it, and use it in your contract.
Definition of "Collateral Account" as a security deposit account
This definition ties "Collateral Account" to securing obligations.
"Collateral Account" means an account established to hold cash or other assets as security for the performance of obligations under an agreement.
Definition of "Collateral Account" as a pledged asset account
This definition connects "Collateral Account" to pledged financial assets.
"Collateral Account" refers to an account where a borrower or debtor deposits assets pledged as collateral for a loan or credit facility.
Definition of "Collateral Account" as an escrow collateral account
This definition links "Collateral Account" to escrow arrangements.
"Collateral Account" means an account held in escrow to secure a party’s obligations until specific contractual conditions are met.
Definition of "Collateral Account" as a margin account
This definition applies "Collateral Account" to financial trading.
"Collateral Account" refers to an account in which a customer’s securities or cash are held as margin collateral for trading activities.
Definition of "Collateral Account" as a restricted account
This definition ties "Collateral Account" to controlled financial holdings.
"Collateral Account" means an account in which funds or assets are held with restricted access, subject to lender or counterparty control.
Definition of "Collateral Account" as a bankruptcy reserve account
This definition connects "Collateral Account" to insolvency proceedings.
"Collateral Account" refers to an account maintained to hold assets reserved for creditor claims in case of borrower bankruptcy.
Definition of "Collateral Account" as a cash collateral account
This definition links "Collateral Account" to liquid asset security.
"Collateral Account" means an account where cash is deposited and pledged as security for repayment obligations.
Definition of "Collateral Account" as a lender-controlled account
This definition applies "Collateral Account" to lender rights.
"Collateral Account" refers to an account managed or controlled by a lender to ensure secured repayment of a borrower’s obligations.
Definition of "Collateral Account" as a letter of credit support account
This definition ties "Collateral Account" to trade finance.
"Collateral Account" means an account in which funds are held as collateral for issuing a letter of credit.
Definition of "Collateral Account" as a reserve fund account
This definition connects "Collateral Account" to structured finance.
"Collateral Account" refers to an account designated to hold reserve funds used for debt service or contingent liabilities.
Definition of "Collateral Account" as a project finance collateral account
This definition links "Collateral Account" to infrastructure projects.
"Collateral Account" means an account established to hold revenues or funds pledged to secure financing for a specific project.
Definition of "Collateral Account" as a real estate collateral account
This definition applies "Collateral Account" to property-backed financing.
"Collateral Account" refers to an account where proceeds from mortgaged or pledged real estate are deposited as security.
Definition of "Collateral Account" as an asset-backed securities account
This definition ties "Collateral Account" to securitization structures.
"Collateral Account" means an account holding receivables, cash, or other assets pledged for asset-backed securities transactions.
Definition of "Collateral Account" as an insurance collateral account
This definition connects "Collateral Account" to policyholder protection.
"Collateral Account" refers to an account where funds are held to secure obligations under an insurance or reinsurance contract.
Definition of "Collateral Account" as a legal trust collateral account
This definition links "Collateral Account" to fiduciary arrangements.
"Collateral Account" means an account held in trust to secure obligations, managed by a trustee or fiduciary.
Definition of "Collateral Account" as a derivatives collateral account
This definition applies "Collateral Account" to financial derivatives.
"Collateral Account" refers to an account used to hold margin or collateral required for derivatives transactions.
Definition of "Collateral Account" as an intercompany collateral account
This definition ties "Collateral Account" to corporate finance.
"Collateral Account" means an account where a subsidiary or affiliate deposits funds pledged as security to a parent or related entity.
Definition of "Collateral Account" as a blocked collateral account
This definition connects "Collateral Account" to restricted fund usage.
"Collateral Account" refers to an account where access to deposited funds or assets is restricted until specific conditions are met.
Definition of "Collateral Account" as a mezzanine financing collateral account
This definition links "Collateral Account" to subordinated lending.
"Collateral Account" means an account where assets are pledged as security for mezzanine debt financing.
Definition of "Collateral Account" as a syndicate loan collateral account
This definition applies "Collateral Account" to multi-lender agreements.
"Collateral Account" refers to an account where collateral is held collectively to secure a syndicated loan.
Definition of "Collateral Account" as an aircraft collateral account
This definition ties "Collateral Account" to aviation financing.
"Collateral Account" means an account where funds or assets related to an aircraft financing agreement are held as security.
Definition of "Collateral Account" as a secured revolving credit collateral account
This definition connects "Collateral Account" to revolving credit facilities.
"Collateral Account" refers to an account used to secure a revolving credit facility through pledged assets.
Definition of "Collateral Account" as a distressed debt collateral account
This definition links "Collateral Account" to troubled asset management.
"Collateral Account" means an account holding collateral to secure loans classified as distressed or non-performing.
Definition of "Collateral Account" as a commodity trade finance collateral account
This definition applies "Collateral Account" to commodity-backed lending.
"Collateral Account" refers to an account holding commodity-related assets or proceeds as security for trade finance transactions.
Definition of "Collateral Account" as a cross-border collateral account
This definition ties "Collateral Account" to international finance.
"Collateral Account" means an account holding assets pledged as collateral in cross-border lending transactions.
Definition of "Collateral Account" as a performance bond collateral account
This definition connects "Collateral Account" to construction and contractual guarantees.
"Collateral Account" refers to an account holding funds pledged to back a performance bond or guarantee.
Definition of "Collateral Account" as a municipal bond collateral account
This definition links "Collateral Account" to government-backed financing.
"Collateral Account" means an account where pledged revenues or assets secure repayment of municipal bonds.
Definition of "Collateral Account" as a pension plan collateral account
This definition applies "Collateral Account" to retirement fund security.
"Collateral Account" refers to an account where pension plan assets are held to meet funding obligations.
Definition of "Collateral Account" as a tax lien collateral account
This definition ties "Collateral Account" to tax enforcement.
"Collateral Account" means an account where funds are held to secure obligations related to unpaid taxes.
Definition of "Collateral Account" as a government subsidy collateral account
This definition connects "Collateral Account" to state-backed financing.
"Collateral Account" refers to an account where government subsidies are deposited as collateral for financial obligations.
Definition of "Collateral Account" as a nonprofit collateral account
This definition links "Collateral Account" to charitable organizations.
"Collateral Account" means an account holding pledged assets to secure financing for nonprofit entities.
This article contains general legal information and does not contain legal advice. Cobrief is not a law firm or a substitute for an attorney or law firm. The law is complex and changes often. For legal advice, please ask a lawyer.