n. any loan or credit in which property is pledged as security in the event payment is not made.
Generally, a secured transaction is a loan or a credit transaction in which the lender acquires a security interest in collateral owned by the borrower and is entitled to foreclose on or repossess the collateral in the event of the borrower`s default. The terms of the relationship are governed by a contract, or security agreement. A common exampl....
Right to repossess goods as security for payment of a debt.
(n) A transaction specifically lending an amount or renting of a property or article by guaranteeing its return by giving security of property of similar worth is termed as secured transaction
An arrangement in which a lender or buyer pledges property as collateral for a loan or sale. (See also: secured debt)