subprime

adjective

sub·​prime ˈsəb-ˌprīm How to pronounce subprime (audio)
1
: having or being an interest rate that is higher than a prime rate and is extended chiefly to a borrower who has a poor credit rating or is judged to be a potentially high risk for default (as due to low income)
subprime mortgages
a subprime loan
2
: extending or obtaining a subprime loan
subprime lenders
subprime borrowers

Examples of subprime in a Sentence

Recent Examples on the Web
Examples are automatically compiled from online sources to show current usage. Read More Opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback.
The areas hardest hit by Sandy had suffered during the subprime crisis – when some homeowners were charged exorbitant mortgage interest rates – and subsequent recession, and home prices had not yet started to rise again. Andrea Riquier, USA Today, 20 May 2025 Big institutional investors began amassing massive rental home portfolios in the wake of the 2007-09 subprime mortgage crisis, according to the Government Accountability Office, a nonpartisan federal research agency. Jaime Moore-Carrillo, Fort Worth Star-Telegram, 12 May 2025 Perhaps, commercial real estate, subprime mortgages, DeFi? Nina Bambysheva, Forbes.com, 6 May 2025 The research found that while 50.8% of subprime borrowers are seriously delinquent, just 0.9% of those with super prime credit scores are behind. Matt Egan, CNN Money, 5 May 2025 See All Example Sentences for subprime

Word History

First Known Use

1995, in the meaning defined at sense 1

Time Traveler
The first known use of subprime was in 1995

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Cite this Entry

“Subprime.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/subprime. Accessed 4 Jun. 2025.

Legal Definition

subprime

adjective
sub·​prime ˈsəb-ˌprīm How to pronounce subprime (audio)
1
: having or being an interest rate that is higher than a prime rate and is extended especially to low-income borrowers
subprime mortgages
2
: extending or obtaining a subprime loan
subprime lenders
subprime borrowers

More from Merriam-Webster on subprime

Last Updated: - Updated example sentences
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