Category: General Knowledge | Last updated: 2026-09-18
Which of the following is the best example of 'secured debt'?
A) A personal loan without collateral.
B) A credit card balance.
C) A mortgage loan.
D) Student loan debt.
Explanation
Secured debt is backed by collateral, which the lender can seize if the borrower defaults. A mortgage loan is secured by the property being purchased, making it a prime example of secured debt.