Question

q what do you mean by collateral.
pls give ans in proper way..
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Answer 1

Answer:

The term collateral refers to an asset that a lender accepts as security for a loan. ... That is, if the borrower defaults on their loan payments, the lender can seize the collateral and sell it to recoup some or all of its losses.

Explanation:

hope it helps you !!!!!

Answer 2

$\Large \bf \underline \blue{Answer}$

• The term collateral refers to an asset that a lender accepts as security for a loan.

• Examples of collateral → Mortgages — The home or real estate you purchase is often used as collateral when you take out a mortgage.

• Car loans — The vehicle you purchase is typically used as collateral when you take out a car loan.

• Secured credit cards — A cash deposit is used as collateral for secured credit cards.