Social Sciences, asked by DeepikaUzenwall, 5 months ago

what do you mean by collateral?​

Answers

Answered by Anonymous
1

Answer:

The term collateral refers to an asset that a lender accepts as security for a loan. ... The collateral acts as a form of protection for the lender. 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

Answered by XxxRAJxxX
1

An asset which is used as securement of repayment of a bank loan.

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