Unsecured: meaning, definitions and examples

Typically used in financial contexts to describe loans or debts that are not backed by collateral.

• He applied for an unsecured loan to pay for his medical expenses.
• Unsecured debts often carry higher interest rates due to the increased risk to the lender.

Used in a variety of situations to indicate a lack of safety measures or defenses in place.

• It's dangerous to leave personal data unprotected on the internet.
• The garden was unprotected from the harsh winter winds.

Describes something that does not have a formal assurance or promise of performance or fulfillment.

• The success of a startup company is often unguaranteed and involves high risks.
• Investors should be cautious with unguaranteed returns.

Used to refer to projects, plans, or obligations that do not have financial resources allocated to them.

• The new school building project remains unfunded despite many fundraising efforts.
• Pension liabilities pose a significant challenge for unfunded retirement plans.