What context can I use each word in?
Learn when and how to use these words with these examples!
collateral
Example
The bank required him to provide collateral in the form of his car for the loan. [collateral: noun]
Example
She used her house as collateral to secure the mortgage. [collateral: adjective]
pledge
Example
He made a pledge to donate a portion of his salary to charity. [pledge: noun]
Example
She pledged her support to the political candidate during the campaign. [pledged: past tense verb]
Good things to know
Which word is more common?
Collateral is more commonly used in financial and legal contexts, especially when discussing loans or debts. Pledge is a more general term that can be used in everyday language to express promises or commitments.
What’s the difference in the tone of formality between collateral and pledge?
While collateral is typically associated with a formal and professional tone, pledge can be used in both formal and informal contexts, allowing it to be employed in a wider range of situations.
