Meaning of the word hypothecate in English

What does hypothecate mean in English? Explore the meaning, pronunciation, and specific usage of this word with Lingoland.

hypothecate

US /haɪˈpɑːθəˌkeɪt/
UK /haɪˈpɒθəkeɪt/

Verb

to pledge (property) as security or collateral for a debt without transferring possession or title

Example:
The company decided to hypothecate its assets to secure the loan.
He had to hypothecate his valuable collection to cover his debts.