What do we call a claim that is supported by a pledge of the debtor's assets?

A claim that is supported by a pledge of the debtor's assets is referred to as a secured claim. This means that the creditor has a legal right to take possession of specific assets or property that have been pledged as collateral if the debtor fails to fulfill their obligations, typically in terms of repaying a loan.

Secured claims provide a layer of protection for the creditor, as they have a designated asset that they can claim in the event of default, which adds an element of reliability to the credit agreement. This is particularly significant in bankruptcy situations, where secured claims are prioritized over unsecured claims when it comes to asset distribution.

The other categories of claims listed do not involve that element of security. Unsecured claims are debts that are not backed by any specific asset, making them riskier for creditors. Contingent claims depend on the occurrence of a specific event that has not yet happened, and priority claims refer to certain types of debts that have legal precedence in bankruptcy scenarios, often related to specific obligations, such as employee wages or taxes. Thus, the correct term for a claim secured by the debtor's assets, providing reassurance to the creditor, is indeed a secured claim.