Final answer:
A cosigner is an entity that agrees to repay a loan if the original borrower defaults. The question implies a legal context, probably relating to debtor-creditor law, suggesting that one cannot use a cosigner to collect a neighbor's loan pledge.
Step-by-step explanation:
When you make your neighbor a loan, you may not use a cosigner to collect his pledge. The term cosigner refers to another person or firm that legally pledges to repay some or all of the money on a loan if the original borrower does not. Coercion is the act of using force or threats to make someone do something against their will. In the context of lending money, it is illegal to use coercion to collect a debt. Instead, lenders must follow proper legal procedures.
If your neighbor has pledged to repay the loan, you can take legal action to enforce the repayment, such as filing a lawsuit or using debt collection agencies.
This principle is part of debtor-creditor law, which regulates the agreements between borrowers and lenders and the use of cosigners in loan transactions.