BusinessSeptember 6, 2026

subprime

SUB-prayme

Definition

Referring to loans or financial products offered to borrowers with lower credit ratings, often carrying higher interest rates and greater risks of default.

Etymology

A combination of the prefix 'sub-' (meaning below) and 'prime' (referring to the best or standard quality), indicating credit quality below the standard required for the best interest rates.

In the news

The article uses the term to describe the 2008 financial crisis, which was fueled by risky, high-interest mortgage products that eventually became worthless.

The next financial crash: a scenario AI debt could spark a chain reaction

Read the full article ↗

UnHerd

Related words

athwartships

Positioned or directed from side to side across a vessel, rather than fore to aft…

Business

cannibalizing

The process by which one product, service, or business activity reduces the sales or…

Business

clampdown

A concerted or severe effort to restrict, regulate, or suppress a specific activity.

Business

dayhead

A small bathroom on a yacht or boat that is intended for use during the day, typically…

Business

deadrise

The angle or degree of slope of a boat's hull bottom as it moves from the center keel…

Business

facultative

A type of reinsurance coverage that applies only to a specific, individual risk or…

Business

Learn words like this every day

Meet new words every morning.

Newspoken pulls carefully chosen words from the day’s news — with clear definitions, context, and light review that makes them stick. Get it on your phone.