Secured Loan
Lending & MortgagesA loan backed by collateral that the lender can claim if the borrower defaults.
Example
Example: Suppose you take out a $300,000 30-year fixed mortgage at 6.5%. Understanding secured loan helps you see how your monthly payment of approximately $1,896 is structured — and how this concept affects your total cost over the life of the loan. Use our mortgage calculator to see how secured loan impacts your specific situation.