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- Secured Loans
Secured loans differ from Unsecured loans by allowing the Borrower to put up an asset as ‘Security’ for the loan, meaning that if the Borrower defaults on the loan then the Lender can take control of the asset to sell or perform other tasks in an attempt at recovering any outstanding money.
A secured loan is a great way for a Lender to be confident in the recovery of monies which they have lent to a Borrower. Having a Borrower provide security for a loan also encourages the Borrower to keep on top of payments and to take the loan seriously.
