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4 votes
Which type of credit is most likely to be unsecured?

auto loans
credit cards
mortgage loans
personal loans

User Sajalsuraj
by
6.8k points

2 Answers

2 votes

the answer is d. personal loans


User Shibin Raju Mathew
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6.6k points
1 vote

The correct answer is B and D.

B. Credit cards.

D. Personal loans.

Unsecured loans are not backed by collateral. Based on the financial history is how the lender decides if someone qualifies for a loan.

If someone defaults on unsecured loan then the lender can not take your property automatically.

Example of unsecured loans include, student loan, personal loan, and credit cards.

The unsecured loan is not good because the APR is higher than the secured one reason being there is no assets which underlines for the creditor to stop if someone does not pay.

User Manuel Zelenka
by
6.5k points