2006-07-26 16:09:06 · 9 answers · asked by keziah 3 in Business & Finance ➔ Personal Finance
A personal unsecure loan is an amount of money(loan) given to an individual with nothing to secure it. For example, when you get a loan for a home or a car, the lender is giving you a credit of say $10,000, the value of the car, with the belief that you will pay it back with any interest they get for lending you this money. This loan is "secured" with the car, which means if they don't get their money, they can get the car or house. "Unsecured" means that there is nothing that is held against the loan, it is only money or credit that is given to you, so if you don't pay it back there is nothing to hold a lien against. But don't think that you get a free ride with an unsecured loan, there can be many legal implications of an unsecured loan, such as garnishment, litigation, and destroyed credit ratings. Hope this helps!
2006-07-26 16:25:17 · answer #1 · answered by Anonymous · 0⤊ 0⤋
1
2016-09-28 00:33:02 · answer #2 · answered by Lillian 3 · 0⤊ 0⤋
Its a loan where you don't have to give any collateral. The most common is a credit card, but you can also get a personal unsecured term loan.
2006-07-26 16:34:20 · answer #3 · answered by frnchfries2000 4 · 0⤊ 0⤋
In addition to what has already been stated, this type of loan request can be revolving (like a credit card where every time you pay on it, it frees up space to use again) or a lump-sum loan (to be paid back in installments until paid in full). Contact your local credit union if this loan type suits your needs. They are open to the public now and typically offer lower rates.
2006-07-26 17:51:15 · answer #4 · answered by playerwon 1 · 0⤊ 0⤋
free money take it and run.
Just kidding. Hopefully for you, it is a very low interest loan (one from your bank not some store front) that you should use to pay off your high interest loans.
I can't imagine a good reason to take on that kind of debt unless it is an emergency.
2006-07-26 16:16:04 · answer #5 · answered by Anonymous · 0⤊ 0⤋
An uncollateralized loan, aka a signature loan. It is based on the borrowers credit worthiness alone. That means that the lender has to trust the borrower lots.
OR
the lender is Big Vinnie and he will break your legs if you don't pay up on time.
2006-07-26 16:22:18 · answer #6 · answered by bigrob 5 · 0⤊ 0⤋
you have not any credit history, no collateral, and you do not desire to pay all people for their threat and issue the two? If the financial business enterprise of mom & Dad won't cough up, you extremely can not think of all people else might. this is very lots of funds, and you're an excellent super threat. Earn it and keep it. you at the instant are not getting a cent any other way.
2016-12-10 15:19:14 · answer #7 · answered by Anonymous · 0⤊ 0⤋
it is a loan that has no collateral against it.
loans that are given against your property like your house or your gold or your savings is called secured and loans that are strictly are based on your credit report and behavior with creditors that you deal with daily based called insecure
2006-07-26 16:16:31 · answer #8 · answered by zizigooloo_asipasi 2 · 0⤊ 0⤋
Lots of info here.
2006-07-26 20:35:56 · answer #9 · answered by Anonymous · 0⤊ 0⤋