Social Sciences, asked by artinegi151983, 1 month ago

1. Why do-lenders ask for collateral while lending?

Answers

Answered by royalswatijain2004
1

Answer:

Lenders ask for collateral as security against loans. If the borrower fails to repay the loan, the lender has the right to sell the asset-or collateral to recover the payment. ... It is for this reason that lenders ask for collateral while lending

Answered by hassanalihassanali06
1

Answer:

Reason;

Lenders ask for collateral as security against loans. If the borrower fails to repay the loan, the lender has the right to sell the asset-or collateral to recover the payment. Collateral assets (such as land, vehicle, etc.) ... It is for this reason that lenders ask for collateral while lending.

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