Banking Term: Security for Loans

Find important banking term that is useful in upcoming banking exam

Created On: May 25, 2015 16:35 IST

Banking Term: Security for Loans

  • Where large loans are required the lending institution often needs to have a guarantee that the loan will be paid back.
  • This takes the form of a large item of capital outlay (typically a house) which is owned or partly owned and the amount owned is at least equivalent to the loan required.

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