Question

What is a Collateral?Mention different types of collateral.

Answer 1

Collateral is a document which is used to take loans. In taking loans one has to give his/her land papers as collateral and if he/she failed to do so then the lender has right to take property

Answer 2

Collateral is an assest that the borrower ows (such as land, building, vehicle, livestocks, deposits with banks ) and uses this as a guarantee to a lender until the loan is repaid

types:
1)property
2)invoice collateral
3)cash secured loan
4)inventory financing
5)blanket liens