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ID number:858066
 
Evaluation:
Published: 28.11.2002.
Language: English
Level: Secondary school
Literature: n/a
References: Not used
Extract

Other long-term loans may, unlike the mortgages, be unsecured loans. This means that the bank or financial institution that lent the money does not have any title over any of the firms assets, and they would have to go through the courts to get any money back. This can prove to be a lengthy and expensive process. An unsecured loan will therefore tend to attract a higher rate of interest then a secured one where the lender is more certain of recovering their money in the event of a problem.…

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