The Difference Between Secured Debt and Unsecured Debt
The Difference Between Secured Debt and Unsecured Debt
Debt is not tied to any item or property. A creditor does not have the right to grab property to satisfy the debt if you default. The most common types of unsecured debts are credit cards, department store cards, medical bills, and personal (signature) loans.
A secured debt relies upon collateral.
Real property, personal property, fixtures, or a combination of both may secure repayment of debt. A debt that entitles the lender to confiscate a specified piece of property (the collateral) if the debtor cannot repay the secured debt. The most common forms of secured debt are home loans (mortgage or equity line-of-credit) and car loans.
The last kind of a "secured" debt is a student loan.
Student loans are loans offered to students to assist in payment of the costs of professional education. These loans usually charge lower interest rates then other loans, and are usually issued by the government.
The Difference Between Secured Debt and Unsecured Debt - To learn more about this author, visit Eric Pinola's Website.
Like this article? Share it with your friends
Unsecured debt relies only upon your promise to repay the debt.
Debt is not tied to any item or property. A creditor does not have the right to grab property to satisfy the debt if you default. The most common types of unsecured debts are credit cards, department store cards, medical bills, and personal (signature) loans.
A secured debt relies upon collateral.
Real property, personal property, fixtures, or a combination of both may secure repayment of debt. A debt that entitles the lender to confiscate a specified piece of property (the collateral) if the debtor cannot repay the secured debt. The most common forms of secured debt are home loans (mortgage or equity line-of-credit) and car loans.
The last kind of a "secured" debt is a student loan.
Student loans are loans offered to students to assist in payment of the costs of professional education. These loans usually charge lower interest rates then other loans, and are usually issued by the government.
The Difference Between Secured Debt and Unsecured Debt - To learn more about this author, visit Eric Pinola's Website.
Like this article? Share it with your friends
| |||
 |
I appreciate the explaination in layman terms. And to the point answer.
Commented on The Difference Between Secured Debt and Unsecured Debt. |
||
|
Leave Your Feedback | ||
|
|||
 The Difference Between Secured Debt and Unsecured Debt
| |||
| An explination of the differences in debt type. |
|||
|
Cross-collateralization
| |||
| Everyone should be aware of what Cross-Collateralization is and how it can effect you. |
|||
|
DEBT-TO-INCOME RATIO
| |||
| A small business’s debt-to-income ratio (DIR) is most easily explained as the ratio of a borrower's total debt as a portion of their total gross income. This ratio, more commonly expressed as DIR or simply “debt rat... |
|||
|
Small Business Loans Bad Credit
| |||
| I’ve been asked this question what seems like a million times: Can I get a loan for my startup even though I have poor credit? Well, I’m not here to tell you that it’s not a problem – anyone can get a long. Quite fr... |
|||
|
How To Save Money While In Debt?
| |||
| Many of us, me included, are in debt and have no savings. While some people tell you not to save money while in debt, the fact is if you don't have money for emergencies, then you will increase your debt by having t... |
|||
| |||
Kim CastleWith nearly two decades in the advertising and design business, with clients like Domino's Pizza, General Motors, Direct TV, Pedigree, Wolfgang Puck, Higher Octave Music, Hollywood Celebrity Products, Disney, and Paramount, as well as thousands of entrepreneurs around the world define, structure, communicate, and position their business for greater profits, BrandU(R) co-creators Kim Castle and W. Vito Montone discovered that entrepreneurs could experience the same power that big brands command for a fraction of the cost with the world's only process-based results-drive Integral approach to business creation. BrandU(R) is helping entrepreneurs grow with the power of extreme clarity from idea...to brand...to market(TM) and helping one million entrepreneurs become successful and whole so that they can make a difference in the world. Are you one of them? If you want to experience clarity all the way to the bank(TM), get started now at http://www.brandu.com. - Visit Kim Castle's Website |
|||
|
To learn more about the Evan Elite Author Program please contact us. | |||
 | |
 Eric Pinola (Visit Eric's Website) Credit Alliance Group is a leading debt management company in Dallas, Texas that provides solutions to any unsecured debt challenges. As the director of enrollment I am encouraged to see how much we can help people each day. Our programs are built around the client’s budget; so that they can become debt free again without unnecessary stress. We offer a Basic, Pro, and Elite edition of our services. The road to becoming debt free can be long and hard so it is important to make the journey with a company that truly cares and has the experience to get the job done right the first time. Check out our website; or give us a quick call for a free no obligation enrollment package with your figures in it. 1-866-359-5677 www.creditalliancegroup.net or debt-credit-repair.com/index.html
|  |
 |
| Credit Alliance Group - Dedicated to helping people to become debt free. |
|
|
|
 |
|
|
|
 |
| Modeling the Masters: Learn the true secrets behind Walt Disney's business success factors & grow your company! Video produced by Phanta Media |
|
|
 |
| Have you written articles that would be of value to entrepreneurs? Become an expert on our site by publishing them! Expose yourself to a wide audience, drive more traffic to your website and get more sales! Click Here for details. |
 |
 | ||
 |
||
 |
||
 |
||
|
| ||
|
|
|
Get advice & tips from famous business owners, new articles by entrepreneur experts, my latest website updates, & special sneak peaks at what's to come!
|
|
|
 |
 Spring Cleaning Networking Is The Future Entrepreneur Flight Manual Winning Sales Letter Easy Product Ideas |
|
 | ||
 |
Top 50 SEO Posts - 2007
Top SEO Posts of the Year | |
 |
Top 50 HR Blogs 2009
Top 50 HR Blogs 2009 | |
| ||
 |
|
|
|
|
||||||||||||||||||
 |
|
|
||||||||||||
