secured transaction

secured transaction definition - business

secured transaction

A loan for which the lender receives a security interest in an asset pledged as collateral. The transaction is secured by the lender being able to take control of the pledged asset in the event the borrower defaults.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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