💼intro to business review

Unsecured loans

Written by the Fiveable Content Team • Last updated August 2025
Written by the Fiveable Content Team • Last updated August 2025

Definition

Unsecured loans are a form of financing that does not require the borrower to pledge any collateral to secure the loan. Lenders issue these loans based on the borrower's creditworthiness and promise to repay.

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