Collateral Explained
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YouTubeSeed to Wealth
Collateral Explained
In lending and finance, collateral is an asset or property that a borrower pledges to a lender to secure a loan. It serves as a form of protection for the lender; if the borrower defaults on their loan payments, the lender has the legal right to seize the collateral and sell it to recoup the outstanding financial loss. Loans that are backed by ...
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