• In a long-term debt agreement, the stipulation that all subsequent or less important creditors agree to wait until all claims of the senior debt are satisfied before having their claims satisfied.

 Embedded terms in definition
Senior debt
 Related Terms
 Subordination clause

<< Subordinated debt Subordination clause >>

What Happens If a Bank Fails?: How the FDIC protects depositors, including providing quick access to insured funds. More...

If everybody is thinking alike, then somebody isn't thinking. - George S. Patton, Jr.


Copyright 2009-2018 GVC. All rights reserved.