Debt over which senior debt takes priority. In the event of bankruptcy, subordinated debt-holders receive payment only after senior debt is paid in full. A subordination of security interest in property allows another creditor to have the rights to the proceeds of the sale of that property before the claim of the subordinated creditor.
Barry Goldsmith
| APA | Barry Goldsmith. (2010). subordinated debt (junior debt). Retrieved September 26, 2026, from http://smartdefine.org/subordinated_debt_(junior_debt)/definitions/1164474 |
| Chicago | Barry Goldsmith. 2010. "subordinated debt (junior debt)" http://smartdefine.org/subordinated_debt_(junior_debt)/definitions/1164474 (accessed September 26, 2026). |
| Harvard | Barry Goldsmith 2010, subordinated debt (junior debt), Smart Define, viewed 26 September, 2026, <http://smartdefine.org/subordinated_debt_(junior_debt)/definitions/1164474>. |
| MLA | Barry Goldsmith. "subordinated debt (junior debt)" 21 October 2010. Web. 26 September 2026. <http://smartdefine.org/subordinated_debt_(junior_debt)/definitions/1164474> |