Secured debt uses an asset as collateral to secure the loan, while unsecured debt doesn’t require any collateral. If a borrower fails to repay the loan as agreed, the lender can seize the ...

While unsecured debt isn’t backed by collateral, secured debt is backed by an asset, such as a house (for a mortgage) or a car (for an auto loan). Unsecured debt tends to carry higher interest ...

The key difference between secured and unsecured debt is collateral. For example, secured debts require collateral, while unsecured debts don’t. Mortgages and car loans are examples of secured ...

A method of financing in which a company receives a loan and gives its promise to repay the loan Debt financing includes both secured and unsecured loans. Security involves a form of collateral as ...

Personal loans can be secured by putting down a valuable asset as collateral. Unsecured loans are more common and tend to ...

If you're trying to dig yourself out of debt or you're about to take a loan, you'll want to know the difference between secured and unsecured debts to create a well-laid-out repayment plan.