Asked by Rabina Pandey on Jul 08, 2024
Verified
What type of loan requires collateral as security for the lender?
A) lateral loan
B) unsecured loan
C) secured loan
D) installment loan
Secured Loan
A loan that requires collateral as security for the lender.
Collateral
Assets that a borrower offers to a lender to secure a loan, which can be seized if the borrower fails to repay the loan.
- Understand the significance of securing loans and the function of collateral in this process.
Verified Answer
CE
Carlos EspinalJul 09, 2024
Final Answer :
C
Explanation :
Secured loans require collateral as security for the lender, which can be seized if the borrower fails to repay the loan.
Learning Objectives
- Understand the significance of securing loans and the function of collateral in this process.
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