Question

explain the term of credit or collateral

Answer 1

Collateral is an asset that the borrower owns (such as land, building, vehicle, livestock, deposits with banks) and uses this as a guarantee to a lender until the loan is repaid. The terms of credit refer to the interest rate, collateral, the documents required and the mode of repayment when they are taken together.

Answer 2

Collateral is an asset that the borrower owns (such as land, building, vehicle, livestock, deposits with banks) and uses this as a guarantee to a lender until the loan is repaid. The terms of credit refer to the interest rate, collateral, the documents required and the mode of repayment when they are taken together. The terms of credit differ significantly from one credit arrangement to another. They may vary depending on the nature of the lender and the borrower.
(or you can say that Collateral is security.)

HOPE IT WILL BE HELPFUL FOR U