A loan that is not backed up by assets or guarantee.

Definition A loan that is not backed by collateral. also called signature loan.

is when a loan is given out with no collateral; more specifically it is based solely on the borrower's credit rating or simply the good name of the borrower (e.g. if you set up a personal loan fo [..]

A loan made with no collateral posted to ensure repayment

A loan not backed by collateral, representing a greater risk to the lender. The lender may require a co-signer on the loan to reduce their risk. If you default on the loan, the co-signer will be held responsible for repayment. Most educational loans are unsecured loans. In the case of federal student loans, the federal government guarantees repayme [..]

A loan where no security collateral like using commercial premises. Usually the borrowable amout will be less than a Secured Loan

A loan that is not collateralised against tangible assets.

A loan whereby money is lent to you without any guarantee or security, unlike a secured loan

Unlike secured loans, which require collateral, an unsecured loan requires no collateral and is based entirely on the creditworthiness of the borrower; thus, unsecured loans often are considered riski [..]

A loan that is not secured by assets, but is based solely on the creditworthiness of the customer.

A loan for which no asset has been used as security. The interest rate is usually higher than for a secured loan as there is a higher risk to the lender of not getting their money back.

This involves borrowing money over a fixed term with no security. Many small businesses use this type of finance where they don’t have secured assets to borrow against. Examples include credit cards and personal loans. However, it can be an expensive way to borrow money and is dependent on your credit rating.

A loan based on a consumer’s promise to pay without savings or other collateral as a guarantee

A loan made without collateral.

A loan not backed with collateral.

advance of money that is not secured by collateral.

Money borrowed without goods offered as security against non-payment

An unsecured loan is made without an asset pledged as security against default. Federal education loans and most private student loans are examples of unsecured loans.

A loan made on the general credit of a borrower. The lenders rely upon the borrower’s balance sheet and the capability of the borrower’s management to manage its assets and produce sufficient cash flo [..]

A loan for which no asset has been used as security. The interest rate is usually higher than for a secured loan as there is a higher risk to the lender of not getting their money back.

A loan that is issued and supported only by the borrower's creditworthiness, rather than by a type of collateral. 

Loans that rely solely on your credit history, reputation and integrity to ensure payment.

A loan granted upon the good credit and promise of the borrower to repay, with no requirement that the borrower pledge a tangible asset (collateral) as security. (See also Secured loan.)

A credit agreement or loan that does not require the applicant to provide any form of security, guarantor or asset as part of the deal. Most personal loans are unsecured. See ‘personal loan’ and ‘secured loan’.

A loan not backed by collateral, representing a greater risk to the lender. The lender may require a co-signer on the loan to reduce their risk. If you default on the loan, the co-signer will be held [..]

a loan not backed by collateral.

A loan where no collateral is offered from the borrower to the lender.  Typically, unsecured loans carry a higher interest rate and sometimes require a co-signer.

A loan that is not backed by collateral.

Loan in respect of which the lender has taken no special claim against any assets. Back to the top V