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Which involves securing a debtor's property as security or payment for a debt?

1) lien
2) outsourcing
3) subrogation
4) subpoena

User Stidgeon
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1 Answer

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Final answer:

Securing a debtor's property as security for a debt is known as a lien, which refers to collateral used to protect the lender's interests.

Step-by-step explanation:

The act of securing a debtor's property as security or payment for a debt is referred to as a lien. In the context of financial capital markets and banking, this is closely related to the concept of collateral, which is something valuable—often property or equipment—that a lender would have a right to seize and sell if the borrower does not repay the loan. This security gives the lender a claim over the borrower’s property, ensuring they have a form of protection should the borrower default on their obligations.

User Keyvan
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