Collateral refers to property or other assets a borrower uses to secure a loan. If payments are not made, the lender can seize the collateral to cover its loss.
What is Collateral?
Written by Jolie Pham
Updated over 5 months agoWhat is Collateral?
Collateral refers to property or other assets a borrower uses to secure a loan. If payments are not made, the lender can seize the collateral to cover its loss.