Ref No. E251109
Secured LoansA secured loan is any type of loan issued based on security - aka 'collateral'. Lenders issue secured loans based on the value of the borrower's financial assets.
The most common type of security used in secured borrowing is the applicant's home, though other assets of value may be considered by specialist lenders. Secured loans are relatively simple agreements, whereby the lender takes ownership of the security (or collateral) if the borrower fails to repay the loan.
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