Collateral - Asset than can be repossessed if a borrower defaults.
Properties or assets that are offered to secure a loan or other credit. Collateral becomes subject to seizure on default.
An asset pledged as a guarantee to a lender until a loan is repaid. If the borrower defaults, the lender has a right to sell the collateral asset.An example of a type of financial collateral that can be offered is a life insurance policy which has acquired a cash surrender value equal or greater in value to the loan amount. This could be pledged as security.
Collateral : asset than can be repossessed if a borrower defaults.
properties or assets that are offered to secure a loan or other credit. collateral becomes subject to seizure on default.
an asset pledged as a guarantee to a lender until a loan is repaid. if the borrower defaults, the lender has a right to sell the collateral asset.an example of a type of financial collateral that can be offered is a life insurance policy which has acquired a cash surrender value equal or greater in value to the loan amount. this could be pledged as security.
Collateral