What is secure and unsecured debt?

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I am trying to get back on my feet after the death of my husband. When i apply on-line about a loan they want to know how much unsecure or secured debt do you have. I do not know what this is.

What is secure and unsecured debt?

My condolences....

Secured debt comes when you buy somethign with credit that they then use for collateral, i.e. a car loan.

Unsecured debt is debt without collateral, i.e. student loans, credit cards etc. etc.

You'll find your way soon,

God bless.

What is secure and unsecured debt?

Debt backed or secured by collateral to reduce the risk associated with lending....An example would be a mortgage, your house is considered collateral towards the debt. If you default on repayment, the bank seizes your house, sells it and uses the proceeds to pay back the debt...the opposite of that is unsecured debt which means money borrowed without supplying collateral (debt that is not guaranteed by any form of collateral)

What is secure and unsecured debt?

Think of it this way:

Credit cards are unsecured because there is nothing to be repossessed if you do not pay.

Secured is if you have a car loan and if you do not pay they will repossess your car.

I am sorry for your loss and the best wishes for your future..

What is secure and unsecured debt?

Secure is secured by some asset you own and unsecured is debt with now collateral to pay the debt off if you default.

What is secure and unsecured debt?

hope you're doing well.

ditto to the above answers,

except, some credit cards are secured by bank deposits.

Be well

What is secure and unsecured debt?

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