Secured transactions refer to transactions that involve collateral. It means that when someone borrows money or buys something on credit, they provide an asset (e.g., a house, car, or equipment) as security to the lender. This collateral acts as a guarantee that if the borrower fails to repay the loan or fulfill their obligations, the lender can take possession of the asset and sell it to recover the money owed. So,
secured transactions are essentially agreements where an item or property acts as a safeguard for the lender in case the borrower cannot fulfill their commitments.
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