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Not confident that I understand your post. IF you autrhorized the lender to debit you bank account to accomplish your monthly payments, then yes. I've not heard of that before. Most auto debts are unsecured. It depends upon how your loan was positoned. You didn't tell us that --- so we're left to guess.
The difference between an unsecured loan, and a secured loan is pretty substantial. A house, or a car is used as collateral and therefore secures the loan for the lender. For an unsecured loan, there is no collateral available to the lender.
You can get an unsecured loan from many companies that offer loans from the very small amounts, to very large sums. Unsecured means no collateral, so you need not put up an "asset" for the lender to hold to before you are given the loan. Having this type of loan would have to require that you have good credit because the better your credit history, the better your interest rate.
Unsecured loans are on the basis of good credit score since there is no collateral involved. The lender determines your credit worthiness on the basis of your credit score. Since he has no collateral he has to depend on the credit score to decide whether you are a lender's risk or not. If you have good credit score then you can easily get unsecured personal loan from Banks and NBFCs Such as SBI, PNB, Bajaj Finserv etc.
An unsecured loan is one in which the lender does not take physical collateral to insure repayment of the loan. Rather, money is lent based solely upon the recipient's promise to pay.
Not confident that I understand your post. IF you autrhorized the lender to debit you bank account to accomplish your monthly payments, then yes. I've not heard of that before. Most auto debts are unsecured. It depends upon how your loan was positoned. You didn't tell us that --- so we're left to guess.
The difference between an unsecured loan, and a secured loan is pretty substantial. A house, or a car is used as collateral and therefore secures the loan for the lender. For an unsecured loan, there is no collateral available to the lender.
You can get an unsecured loan from many companies that offer loans from the very small amounts, to very large sums. Unsecured means no collateral, so you need not put up an "asset" for the lender to hold to before you are given the loan. Having this type of loan would have to require that you have good credit because the better your credit history, the better your interest rate.
Unsecured loans are on the basis of good credit score since there is no collateral involved. The lender determines your credit worthiness on the basis of your credit score. Since he has no collateral he has to depend on the credit score to decide whether you are a lender's risk or not. If you have good credit score then you can easily get unsecured personal loan from Banks and NBFCs Such as SBI, PNB, Bajaj Finserv etc.
Not immediately or directly. But, the lender can obtain a Conversion of Collateral from the courts and do so.
The LENDER is responsible.
An unsecured loan is one in which the lender does not take physical collateral to insure repayment of the loan. Rather, money is lent based solely upon the recipient's promise to pay.
Secured and unsecured are the two main types of loans. Secured loans require the borrower to give some form of security to the lender, like a home or car. Unsecured loans do not require any kind of collateral.
Unsecured loans are dangerous for the lender because they are not backed by any form of collateral. Thus, for the borrower, these loans often have high interest rates -- similar to those of a loan shark.
* An unsecured debt, generally, is a debt that is not backed by collateral. For instance a car loan is secured by the security interest the lender has in the car. A credit card which is not backed by collateral is not secured by collateral therefore it is an unsecured debt. Generally, yes a creditor can sue for unsecured debt, the creditor just doesn't have any interest in the good that formed the basis of the loan.
Reaffirmation of a secured loan means the borrower is responsible for repaying the entire debt. Not certain what "3086 is unsecured" means.
An unsecured loan would be one where the lender is relying on the borrower's promise that the loan will be paid back. There is no collateral involved and that is risky. Bad debt would be considered consumer debt or one that cannot be recovered.