Secured loans use one of your assets, such as a car or boat, as collateral to guarantee that the lending institution will get the loan back even if you fail to make payments. A. True

B. False

Question

Business

Ariel Riley

12 March, 13:56

Secured loans use one of your assets, such as a car or boat, as collateral to guarantee that the lending institution will get the loan back even if you fail to make payments. A. True

B. False

+3

Answers (1)

Know the Answer?

Jovan Singh · Answer 1

Answer: True.

Explanation:

Most banks or financial institutions that offer loans to borrowers always ask the borrowers to present a collateral before the loan can be granted. The collateral acts as a security, it assures the lender their money lent would be recovered or the borrower would have to forfeit the collateral.

Secured loans use one of your assets, such as a car or boat, as collateral to guarantee that the lending institution will get the loan back even if you fail to make payments. A. TrueB. False

Secured loans use one of your assets, such as a car or boat, as collateral to guarantee that the lending institution will get the loan back even if you fail to make payments. A. True

B. False