Collateral is something that a borrower pledges as security for repayment of a loan. It can be any asset that has value such as real estate, vehicles, cash and investments.
Collateral is used to reduce the risk for lenders. If a borrower defaults on the loan, the lender can seize the collateral and sell it to recoup their losses.
Collateral can also refer to informational materials (such as brochures and fact sheets) used in selling a product or service to a prospective customer or buyer.
I would be happy to help you create an article about What Is Collateral However, I would like to clarify some details first. What is the purpose of the article? Who is your target audience? What are some key points you want to include in the article?
Here are some websites that discuss What Is Collateral that you might find helpful:
1. [Merriam-Webster](https://www.merriam-webster.com/dictionary/collateral)
2. [Forbes Advisor](https://www.forbes.com/advisor/loans/what-is-collateral/)
3. [Investopedia](https://www.investopedia.com/terms/c/collateral.asp)
Please let me know if you have any other questions or concerns.
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