Question

what is a collateral?​

Answer 1

In lending agreements, collateral is a borrower's pledge of specific property to a lender, to secure repayment of a loan. The collateral serves as a lender's protection against a borrower's default and so can be used to offset the loan if the borrower fails to pay the principal and interest satisfactorily under the terms of the lending agreement.

Hope it helps u☺☺

Answer 2

In lending agreements, collateral is a borrower's pledge of specific property to a lender, to secure repayment of a loan.....

follow me plz...