why do lenders ask for collateral while lending
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The lenders ask for collateral as a promise to repay the loan. If the borrower can't repay the loan , the lenders can get money by using that collateral
For example - Sometimes people gave collateral as their properties paper , jewelries to get a loan
For example - Sometimes people gave collateral as their properties paper , jewelries to get a loan
bilalahmed5798:
thakuu
ur wlcm
its ok
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ʟᴇɴᴅᴇʀs ᴀsᴋ ᴄᴏʟʟᴀᴛᴇʀᴀʟ ғʀᴏᴍ ᴛʜᴇ ʙᴏʀʀᴏᴡᴇʀ ᴀɴᴅ ᴜsᴇs ɪᴛ ᴀs ᴀ ɢᴜʀᴇɴᴛᴇᴇ ᴏʀ ᴘʀᴏᴍɪsᴇ ғʀᴏᴍ ᴛʜᴇ ʙᴏʀʀᴏᴡᴇʀ ᴛᴏ ᴘᴀʏ ᴛʜᴇ ʟᴏᴀɴ ɪɴ ᴛʜᴇ ғᴜᴛᴜʀᴇ ᴀɴᴅ ɪғ ᴛʜᴇ ʙᴏʀʀᴏᴡᴇʀ ғᴀɪʟs ᴛᴏ ʀᴇᴘᴀʏ ᴛʜᴇ ʟᴏᴀɴ ᴛʜᴇɴ ᴛʜᴇʏ ʜᴀᴅ ʟᴇɢᴀʟ ʀɪɢʜᴛs ᴛᴏ sᴇʟʟ ᴛʜᴇ ᴀssᴇᴛ ᴀɴᴅ ᴏʙᴛᴀɪɴ ᴍᴏɴᴇʏ
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