What is a secured loan and how does it work?

Remember, you could lose these assets if you default on a loan , so make sure you are in a good financial place and can pay back your debt before you take out a loan.What you use as collateral will likely depend on whether your loan is for personal or business use. Some examples of collateral include:You can pledge your car, home or other asset as collateral for a secured loan, and the lender will place a lien on that asset until the loan is repaid. If you default, the lender can claim and sell the collater ...