Related Terms
A financial entity that purchases mortgage-backed securities from a third party to resell to investors with new terms that will make the sale profitable for the issuing entity. The conduit will usually pool enough funds from the mortgage-back securities before reissuing the funds to another party. A conduit may be used if a borrower is unable to meet the requirements of the original lender. See also conduit borrower, conduit issuer.

Use 'conduit' in a Sentence

The water was leaking, so I figured that there must be some kind of problem with a conduit that was causing the leak.
20 people found this helpful
You may need to use a conduit to get your hands on something you need and they will charge a small fee.
19 people found this helpful
The conduit was necessary in the project because we needed multiple intermediaries to facilitate our optimal investing portfolio and transactions.
16 people found this helpful

Email Print Embed