Secured Loan Collateral

Have you ever thought about borrowing money with a security through a collateral on the line? If so, then what assets or properties have you thought about? Is there even a requirement for a collateral if applying for a secured loan?

Secured loan collaterals are usually required to be of a high value. In most cases, the value of the collateral will be checked and evaluated by the lender so that it’s the value that would go against the amount of the loan.

What are the Common Collaterals for Secured Loans?

It is a common misconception that only land and houses can be used as a collateral. In fact, it’s not always the case. One thing that they might need though is for the security to easily be liquidated; it should easily be sold when put up in the market.

Without further ado, here are some of the most common secured loan collaterals that people can use if they’re thinking about going to that path:

• Land
• House and Lot
• House
• Car or any automotive vehicle
• Jewelry
• Boats and yachts
• Savings account
• Deposit account
• Investment accounts (stocks, bonds, etc.)

Future paychecks can also be a collateral but that’s more of like going to the side of a “merchant cash advance” rather than being a security for a loan.

Which Institutions Offer Secured Loans?

Secured loans are everywhere – from big national banks, local banks, credit unions, the SBA, funding and lending companies, and many more. They would definitely accept the collateral because it’s an asset and it’s something that can be liquidated.

Here with us in Business Funding Team, whatever collateral or security you have for us as long as it has value, we’ll willingly accept it. However, a collateral does not guarantee the approval of a loan or funding.

A collateral would serve as the security and it can, of course, heighten the chances but it does not give a 100% assurance that the borrower would be approved.

With Business Funding Team, we’re not going to lie – it will drastically improve your chances of being approved no matter how bad or poor your credit standing is. If you are in need of a secured loan and you want to place a collateral on the line, you can bank on us here at Business Funding Team.

We will be there to help you with your finances and that’s what we can guarantee!