What is the difference between a secured and unsecured loan?

| September 12, 2017

article image
When you take out a secured loan, you have to use something of value that you own, like your car, home, or other valuable personal property. This is called collateral. The lender holds the title or deed to the collateral or places a lien on the collateral until you pay the loan off in full. If you do not repay the loan, the lender has the right to take possession of the collateral and apply the proceeds of the sale of the collateral to the outstanding debt.

Spotlight

Central Bank of Ireland

The Central Bank's mission statement, 'Safeguarding Stability, Protecting Consumers', is at the heart of all that we do and encapsulates the dual priorities for the Central Bank in delivering on its mandate.

OTHER ARTICLES

Are challenger banks transforming the lending market or just providing digital makeup?

Article | March 4, 2020

The short answer is yes…. sometimes to both. However, there is a huge change underway and enough evidence to suggest that customer and competitive pressure alone will drive more change, even without further regulatory updates. Globally, and in the UK, margins in the lending market are feeling the pressure. Slow credit growth (currently at 2.5% in the UK), and low interest rates are the primary drivers. This has fueled competition, especially for lending products with higher margins, such as mortgages.

Read More

Ten steps to a maturity assessment-driven Data Strategy, for your Bank

Article | April 20, 2020

Here are ten steps to defining a data strategy based on a data capability maturity assessment, for a Financial Institution, Identify and Simplify Maturity models, and customize the yardstick as well as benchmarks based on local study and future organization strategy. Conduct workshop with leaders and grassroots to sensitize the assessment and questionnaires.

Read More

How the Coronavirus Crisis is Impacting Fintech

Article | March 26, 2020

The global coronavirus pandemic has far-reaching implications for every aspect of the economy, and fintech is already feeling some of the consequences of the escalating crisis. From canceled events to shrinking opportunities for fundraising, we’re talking through some of the biggest challenges this crisis will present to the industry. We’re also highlighting the areas of opportunity unique to fintech as the situation continues to evolve.

Read More

5 Ways AI can Transform Fintech Industry

Article | February 25, 2020

Fintech is one of the fastest-growing industries, owing to the rising penetration of internet users. There is a paradigm shift to mobile devices for performing financial transactions and related actions. Behind the booming fintech market, there are several technologies that are contributing to making the system fast, secure, and scalable. One such technology is Artificial Intelligence (AI). The AI in the fintech market is estimated to reach USD 35.40 billion by 2025 ( Mordor Intelligence).

Read More

Spotlight

Central Bank of Ireland

The Central Bank's mission statement, 'Safeguarding Stability, Protecting Consumers', is at the heart of all that we do and encapsulates the dual priorities for the Central Bank in delivering on its mandate.

Events