Auto Sales & Finance wants to get paid for its goods and services, so it will not sell goods or lend funds unless payment is guaranteed. To obtain those goods or services, a customer or borrower might pledge

Question

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Collateral is a borrower's pledge of specific property to a lender, to secure repayment of a loan. It serves as a guarantee that the lender will be repaid, either through future earnings or by taking possession of the collateral if the borrower fails to repay the loan.

Auto Sales & Finance Wants to Get Paid for Its