Secured vs. Unsecured Loans in One Minute: Definitions, Explanations and Comparison
By understanding what secured loans are, what unsecured loans are and what similarities as well as differences exist between secured and unsecured loans, ...
LightStream loans for practically anything. You can finance practically anything with LightStream, our national online lending division. LightStream offers unsecured, fixed-rate loans from $5,000 to $100,000.
What is 'Unsecured Loan'. An unsecured loan is a loan that is issued and supported only by the borrower's creditworthiness, rather than by any type of collateral. Because unsecured loans, sometimes referred to as signature loans or personal loans, are obtained without the use of property as collateral, the terms of such loans,...
Unsecured loans are loans that are approved without the need for collateral. Instead of pledging assets, borrowers qualify based on their credit history and income. Lenders do not have the right to take physical assets (such as a home or vehicle) if borrowers stop making payments on unsecured loans.
What is an unsecured loan? An unsecured loan is issued based on the borrower’s creditworthiness, instead of some type of collateral. An unsecured loan can be obtained without the use of property as collateral for processing the loan. Borrowers generally must have high credit ratings to be approved for an unsecured loan.
An unsecured loan is a loan that doesn’t require property to secure the loan, meaning you won’t need to pledge your house, your car or your prized possessions as collateral for the loan. Instead, an unsecured loan is typically granted on factors such as your creditworthiness and ability to pay. An unsecured loan may actually help you feel more secure because you know your possessions are safe and sound. Funny how that works.