Lucas Downey is the co-founder of MoneyFlows, and an Investopedia Academy instructor. Chip Stapleton is a Series 7 and Series 66 license holder, CFA Level 1 exam holder, and currently holds a Life, ...

Since the global financial crisis regulators have aimed to reduce systemic risk and increase transparency by expanding the use of collateral—the exchange of cash or securities to mitigate default risk ...

Collateral is a valuable asset (like a car, house or even cash) you can pledge to secure a loan. If you fail to repay your loan, the lender can seize whatever you've put up as collateral. Financial ...

A new law is in the works to bring a broader definition of collateral for bank loans. As a result, not only immovable property, but also fixed deposits or immovable property like gold, silver, ...