Answer: B: Collateral
Collateral is the security for the repayment of a secured loan.
Explanation:
A secured loan refers to a type of loan that is backed by collateral. The collateral can be used as payment to the lender if the borrower is unable to pay the loan. It has lower interest rate because it is less risky as a result of the collateral. Examples of collateral include: house, car, companies and so on.
