A debt is secured if the debtor offers the creditor an interest in property to guarantee payment of the debt. A typical secured debt is an automobile loan, or a mortgage on a home. If the debtor does not make payments on a secured debt, the creditor will take back ("repossess") the property used to guarantee the loan, or foreclose on the home. For example, when you take out a car loan, you pledge the car as security on the loan. If you do not repay the loan, the creditor will repossess the car.
Speak to an Experienced Creditors Rights Attorney Today
This article is intended to be helpful and informative. But even common legal matters can become complex and stressful. A qualified creditors rights lawyer can address your particular legal needs, explain the law, and represent you in court. Take the first step now and contact a local creditors rights attorney to discuss your specific legal situation.