Collateral - Revision history

https://www.designingbuildings.co.uk/w/index.php?action=history&feed=atom&title=Collateral Collateral - Revision history 2026-05-18T13:52:34Z Revision history for this page on the wiki MediaWiki 1.17.4 https://www.designingbuildings.co.uk/w/index.php?title=Collateral&diff=182722&oldid=prev Designing Buildings at 08:12, 19 November 2020 2020-11-19T08:12:57Z

<p></p> <table style="background-color: white; color:black;"> <col class='diff-marker' /> <col class='diff-content' /> <col class='diff-marker' /> <col class='diff-content' /> <tr valign='top'> <td colspan='2' style="background-color: white; color:black;">← Older revision</td> <td colspan='2' style="background-color: white; color:black;">Revision as of 08:12, 19 November 2020</td> </tr><tr><td colspan="2" class="diff-lineno">Line 29:</td> <td colspan="2" class="diff-lineno">Line 29:</td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* What is a mortgage?</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* What is a mortgage?</div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td></tr> <tr><td class='diff-marker'>−</td><td style="background: #ffa; color:black; font-size: smaller;"><div>[[Category:Property_law]] [[Category:Cost_/_business_planning]] [[Category:Property_development]]</div></td><td class='diff-marker'>+</td><td style="background: #cfc; color:black; font-size: smaller;"><div><ins class="diffchange diffchange-inline">[[Category:DCN_Definition]] [[Category:DCN_Guidance]] </ins>[[Category:Property_law]] [[Category:Cost_/_business_planning]] [[Category:Property_development]]</div></td></tr> </table>

Designing Buildings https://www.designingbuildings.co.uk/w/index.php?title=Collateral&diff=161721&oldid=prev Editor at 16:34, 14 May 2020 2020-05-14T16:34:05Z

<p></p> <table style="background-color: white; color:black;"> <col class='diff-marker' /> <col class='diff-content' /> <col class='diff-marker' /> <col class='diff-content' /> <tr valign='top'> <td colspan='2' style="background-color: white; color:black;">← Older revision</td> <td colspan='2' style="background-color: white; color:black;">Revision as of 16:34, 14 May 2020</td> </tr><tr><td colspan="2" class="diff-lineno">Line 26:</td> <td colspan="2" class="diff-lineno">Line 26:</td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Property development finance.</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Property development finance.</div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Remortgage.</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Remortgage.</div></td></tr> <tr><td colspan="2"> </td><td class='diff-marker'>+</td><td style="background: #cfc; color:black; font-size: smaller;"><div><ins style="color: red; font-weight: bold; text-decoration: none;">* Trade credit insurance.</ins></div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* What is a mortgage?</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* What is a mortgage?</div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>[[Category:Property_law]] [[Category:Cost_/_business_planning]] [[Category:Property_development]]</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>[[Category:Property_law]] [[Category:Cost_/_business_planning]] [[Category:Property_development]]</div></td></tr> </table>

Editor https://www.designingbuildings.co.uk/w/index.php?title=Collateral&diff=144014&oldid=prev Editor at 15:59, 24 September 2019 2019-09-24T15:59:59Z

<p></p> <table style="background-color: white; color:black;"> <col class='diff-marker' /> <col class='diff-content' /> <col class='diff-marker' /> <col class='diff-content' /> <tr valign='top'> <td colspan='2' style="background-color: white; color:black;">← Older revision</td> <td colspan='2' style="background-color: white; color:black;">Revision as of 15:59, 24 September 2019</td> </tr><tr><td colspan="2" class="diff-lineno">Line 11:</td> <td colspan="2" class="diff-lineno">Line 11:</td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>= Related articles on Designing Buildings Wiki =</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>= Related articles on Designing Buildings Wiki =</div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td></tr> <tr><td colspan="2"> </td><td class='diff-marker'>+</td><td style="background: #cfc; color:black; font-size: smaller;"><div><ins style="color: red; font-weight: bold; text-decoration: none;">* Backward integration.</ins></div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Bad debt.</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Bad debt.</div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Collateral warranties.</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Collateral warranties.</div></td></tr> </table>

Editor https://www.designingbuildings.co.uk/w/index.php?title=Collateral&diff=144006&oldid=prev Editor at 15:11, 24 September 2019 2019-09-24T15:11:54Z

<p></p> <table style="background-color: white; color:black;"> <col class='diff-marker' /> <col class='diff-content' /> <col class='diff-marker' /> <col class='diff-content' /> <tr valign='top'> <td colspan='2' style="background-color: white; color:black;">← Older revision</td> <td colspan='2' style="background-color: white; color:black;">Revision as of 15:11, 24 September 2019</td> </tr><tr><td colspan="2" class="diff-lineno">Line 11:</td> <td colspan="2" class="diff-lineno">Line 11:</td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>= Related articles on Designing Buildings Wiki =</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>= Related articles on Designing Buildings Wiki =</div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td></tr> <tr><td colspan="2"> </td><td class='diff-marker'>+</td><td style="background: #cfc; color:black; font-size: smaller;"><div><ins style="color: red; font-weight: bold; text-decoration: none;">* Bad debt.</ins></div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Collateral warranties.</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Collateral warranties.</div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Construction loan.</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Construction loan.</div></td></tr> </table>

Editor https://www.designingbuildings.co.uk/w/index.php?title=Collateral&diff=135740&oldid=prev Editor at 16:25, 21 May 2019 2019-05-21T16:25:35Z

<p></p> <table style="background-color: white; color:black;"> <col class='diff-marker' /> <col class='diff-content' /> <col class='diff-marker' /> <col class='diff-content' /> <tr valign='top'> <td colspan='2' style="background-color: white; color:black;">← Older revision</td> <td colspan='2' style="background-color: white; color:black;">Revision as of 16:25, 21 May 2019</td> </tr><tr><td colspan="2" class="diff-lineno">Line 9:</td> <td colspan="2" class="diff-lineno">Line 9:</td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>NB: In construction, the term 'collateral warranty' refers to an agreement associated with another 'primary' contract providing for a duty of care to be extended by one of the contracting parties to a third party who is not party to the original contract. See Collateral warranties for more information.</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>NB: In construction, the term 'collateral warranty' refers to an agreement associated with another 'primary' contract providing for a duty of care to be extended by one of the contracting parties to a third party who is not party to the original contract. See Collateral warranties for more information.</div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td></tr> <tr><td class='diff-marker'>−</td><td style="background: #ffa; color:black; font-size: smaller;"><div><del class="diffchange diffchange-inline">= Find out more =</del></div></td><td class='diff-marker'>+</td><td style="background: #cfc; color:black; font-size: smaller;"><div>= Related articles on Designing Buildings Wiki =</div></td></tr> <tr><td class='diff-marker'>−</td><td style="background: #ffa; color:black; font-size: smaller;"><div> </div></td><td class='diff-marker'>+</td><td style="background: #cfc; color:black; font-size: smaller;"><div></div></td></tr> <tr><td class='diff-marker'>−</td><td style="background: #ffa; color:black; font-size: smaller;"><div><del class="diffchange diffchange-inline">==</del>= Related articles on Designing Buildings Wiki <del class="diffchange diffchange-inline">==</del>=</div></td><td class='diff-marker'>+</td><td style="background: #cfc; color:black; font-size: smaller;"><div></div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Collateral warranties.</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Collateral warranties.</div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Construction loan.</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Construction loan.</div></td></tr> <tr><td colspan="2"> </td><td class='diff-marker'>+</td><td style="background: #cfc; color:black; font-size: smaller;"><div><ins style="color: red; font-weight: bold; text-decoration: none;">* Credit check.</ins></div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Definition of collateral warranty.</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Definition of collateral warranty.</div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Equity in property.</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Equity in property.</div></td></tr> </table>

Editor https://www.designingbuildings.co.uk/w/index.php?title=Collateral&diff=110554&oldid=prev Editor at 14:36, 4 July 2018 2018-07-04T14:36:18Z

<p></p> <table style="background-color: white; color:black;"> <col class='diff-marker' /> <col class='diff-content' /> <col class='diff-marker' /> <col class='diff-content' /> <tr valign='top'> <td colspan='2' style="background-color: white; color:black;">← Older revision</td> <td colspan='2' style="background-color: white; color:black;">Revision as of 14:36, 4 July 2018</td> </tr><tr><td colspan="2" class="diff-lineno">Line 7:</td> <td colspan="2" class="diff-lineno">Line 7:</td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>A mortgage is a common type of collateral. The mortgage lender (typically a bank) will usually require that the home being purchased is provided as collateral. If mortgage loan repayments are not made according to the agreed terms, the bank is entitled to take ownership of the home (described as foreclosure), which it can then sell as a means of recouping losses.</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>A mortgage is a common type of collateral. The mortgage lender (typically a bank) will usually require that the home being purchased is provided as collateral. If mortgage loan repayments are not made according to the agreed terms, the bank is entitled to take ownership of the home (described as foreclosure), which it can then sell as a means of recouping losses.</div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td></tr> <tr><td class='diff-marker'>−</td><td style="background: #ffa; color:black; font-size: smaller;"><div>NB<del class="diffchange diffchange-inline">. </del>In construction, the term 'collateral warranty' refers to an agreement associated with another 'primary' contract providing for a duty of care to be extended by one of the contracting parties to a third party who is not party to the original contract. See Collateral warranties for more information.</div></td><td class='diff-marker'>+</td><td style="background: #cfc; color:black; font-size: smaller;"><div>NB<ins class="diffchange diffchange-inline">: </ins>In construction, the term 'collateral warranty' refers to an agreement associated with another 'primary' contract providing for a duty of care to be extended by one of the contracting parties to a third party who is not party to the original contract. See Collateral warranties for more information.</div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>= Find out more =</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>= Find out more =</div></td></tr> <tr><td colspan="2" class="diff-lineno">Line 24:</td> <td colspan="2" class="diff-lineno">Line 24:</td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Practical considerations of collateral warranties.</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Practical considerations of collateral warranties.</div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Property development finance.</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Property development finance.</div></td></tr> <tr><td colspan="2"> </td><td class='diff-marker'>+</td><td style="background: #cfc; color:black; font-size: smaller;"><div><ins style="color: red; font-weight: bold; text-decoration: none;">* Remortgage.</ins></div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* What is a mortgage?</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* What is a mortgage?</div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>[[Category:Property_law]] [[Category:Cost_/_business_planning]] [[Category:Property_development]]</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>[[Category:Property_law]] [[Category:Cost_/_business_planning]] [[Category:Property_development]]</div></td></tr> </table>

Editor https://www.designingbuildings.co.uk/w/index.php?title=Collateral&diff=89465&oldid=prev Editor at 13:45, 23 October 2017 2017-10-23T13:45:00Z

<p></p> <table style="background-color: white; color:black;"> <col class='diff-marker' /> <col class='diff-content' /> <col class='diff-marker' /> <col class='diff-content' /> <tr valign='top'> <td colspan='2' style="background-color: white; color:black;">← Older revision</td> <td colspan='2' style="background-color: white; color:black;">Revision as of 13:45, 23 October 2017</td> </tr><tr><td colspan="2" class="diff-lineno">Line 18:</td> <td colspan="2" class="diff-lineno">Line 18:</td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Equity in property.</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Equity in property.</div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Funding options.</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Funding options.</div></td></tr> <tr><td colspan="2"> </td><td class='diff-marker'>+</td><td style="background: #cfc; color:black; font-size: smaller;"><div><ins style="color: red; font-weight: bold; text-decoration: none;">* Gazumping.</ins></div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Liens.</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Liens.</div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Mezzanine finance.</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Mezzanine finance.</div></td></tr> </table>

Editor https://www.designingbuildings.co.uk/w/index.php?title=Collateral&diff=80785&oldid=prev Designing Buildings at 10:48, 21 June 2017 2017-06-21T10:48:39Z

<p></p> <table style="background-color: white; color:black;"> <col class='diff-marker' /> <col class='diff-content' /> <col class='diff-marker' /> <col class='diff-content' /> <tr valign='top'> <td colspan='2' style="background-color: white; color:black;">← Older revision</td> <td colspan='2' style="background-color: white; color:black;">Revision as of 10:48, 21 June 2017</td> </tr><tr><td colspan="2" class="diff-lineno">Line 6:</td> <td colspan="2" class="diff-lineno">Line 6:</td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>A mortgage is a common type of collateral. The mortgage lender (typically a bank) will usually require that the home being purchased is provided as collateral. If mortgage loan repayments are not made according to the agreed terms, the bank is entitled to take ownership of the home (described as foreclosure), which it can then sell as a means of recouping losses.</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>A mortgage is a common type of collateral. The mortgage lender (typically a bank) will usually require that the home being purchased is provided as collateral. If mortgage loan repayments are not made according to the agreed terms, the bank is entitled to take ownership of the home (described as foreclosure), which it can then sell as a means of recouping losses.</div></td></tr> <tr><td colspan="2"> </td><td class='diff-marker'>+</td><td style="background: #cfc; color:black; font-size: smaller;"><div><ins style="color: red; font-weight: bold; text-decoration: none;"></ins></div></td></tr> <tr><td colspan="2"> </td><td class='diff-marker'>+</td><td style="background: #cfc; color:black; font-size: smaller;"><div><ins style="color: red; font-weight: bold; text-decoration: none;">NB. In construction, the term 'collateral warranty' refers to an agreement associated with another 'primary' contract providing for a duty of care to be extended by one of the contracting parties to a third party who is not party to the original contract. See Collateral warranties for more information.</ins></div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>= Find out more =</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>= Find out more =</div></td></tr> </table>

Designing Buildings https://www.designingbuildings.co.uk/w/index.php?title=Collateral&diff=80784&oldid=prev Designing Buildings at 10:46, 21 June 2017 2017-06-21T10:46:38Z

<p></p> <table style="background-color: white; color:black;"> <col class='diff-marker' /> <col class='diff-content' /> <col class='diff-marker' /> <col class='diff-content' /> <tr valign='top'> <td colspan='2' style="background-color: white; color:black;">← Older revision</td> <td colspan='2' style="background-color: white; color:black;">Revision as of 10:46, 21 June 2017</td> </tr><tr><td colspan="2" class="diff-lineno">Line 1:</td> <td colspan="2" class="diff-lineno">Line 1:</td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>Collateral is an item of value, such as a property, that a borrower puts forward as a means of securing a loan from a lender. The item can be seized by the lender if the borrower fails to repay the loan according to the terms which have been agreed. Therefore, collateral is a way in which a lender can acquire some security against the capital that they loan.</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>Collateral is an item of value, such as a property, that a borrower puts forward as a means of securing a loan from a lender. The item can be seized by the lender if the borrower fails to repay the loan according to the terms which have been agreed. Therefore, collateral is a way in which a lender can acquire some security against the capital that they loan.</div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td></tr> <tr><td class='diff-marker'>−</td><td style="background: #ffa; color:black; font-size: smaller;"><div><del class="diffchange diffchange-inline">‘Lien’ is the term used to describe the </del>lender’s claim to a borrower’s collateral.</div></td><td class='diff-marker'>+</td><td style="background: #cfc; color:black; font-size: smaller;"><div><ins class="diffchange diffchange-inline">The </ins>lender’s claim to a borrower’s collateral <ins class="diffchange diffchange-inline">is described as a 'lien'</ins>.</div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td></tr> <tr><td class='diff-marker'>−</td><td style="background: #ffa; color:black; font-size: smaller;"><div><del class="diffchange diffchange-inline">The type of collateral can vary depending on </del>the <del class="diffchange diffchange-inline">type of </del>loan<del class="diffchange diffchange-inline">, although for it </del>to be <del class="diffchange diffchange-inline">deemed </del>secure, the collateral’s value must equal or exceed the amount remaining on loan.</div></td><td class='diff-marker'>+</td><td style="background: #cfc; color:black; font-size: smaller;"><div><ins class="diffchange diffchange-inline">For </ins>the loan to be <ins class="diffchange diffchange-inline">considered '</ins>secure<ins class="diffchange diffchange-inline">'</ins>, the collateral’s value must equal or exceed the amount remaining on loan<ins class="diffchange diffchange-inline">. Loans that are secured by collateral typically have lower interest rates than unsecured loans. This is because they are less risky for the lenders, as the borrower has a strong incentive to continue payment and losses can be recovered</ins>.</div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td></tr> <tr><td class='diff-marker'>−</td><td style="background: #ffa; color:black; font-size: smaller;"><div>A common type of collateral <del class="diffchange diffchange-inline">is the taking out of a mortgage</del>. The mortgage lender (<del class="diffchange diffchange-inline">i.e. </del>a bank) will usually <del class="diffchange diffchange-inline">ask for </del>the home being purchased <del class="diffchange diffchange-inline">with the funds from the mortgage to be </del>provided as collateral.</div></td><td class='diff-marker'>+</td><td style="background: #cfc; color:black; font-size: smaller;"><div>A <ins class="diffchange diffchange-inline">mortgage is a </ins>common type of collateral. The mortgage lender (<ins class="diffchange diffchange-inline">typically </ins>a bank) will usually <ins class="diffchange diffchange-inline">require that </ins>the home being purchased <ins class="diffchange diffchange-inline">is </ins>provided as collateral. <ins class="diffchange diffchange-inline">If </ins>mortgage loan repayments are not made according to the agreed terms, the bank is entitled to take ownership of the home (<ins class="diffchange diffchange-inline">described as </ins>foreclosure), which it can then sell as a means of recouping losses.</div></td></tr> <tr><td class='diff-marker'>−</td><td style="background: #ffa; color:black; font-size: smaller;"><div> </div></td><td class='diff-marker'>+</td><td style="background: #cfc; color:black; font-size: smaller;"><div></div></td></tr> <tr><td class='diff-marker'>−</td><td style="background: #ffa; color:black; font-size: smaller;"><div><del class="diffchange diffchange-inline">Therefore, if </del>mortgage loan repayments are not made according to the agreed terms, the bank is entitled to take ownership of the home (<del class="diffchange diffchange-inline">i.e. </del>foreclosure), which it can then sell as a means of recouping <del class="diffchange diffchange-inline">their </del>losses<del class="diffchange diffchange-inline">.</del></div></td><td class='diff-marker'>+</td><td style="background: #cfc; color:black; font-size: smaller;"><div></div></td></tr> <tr><td class='diff-marker'>−</td><td style="background: #ffa; color:black; font-size: smaller;"><div> </div></td><td class='diff-marker'>+</td><td style="background: #cfc; color:black; font-size: smaller;"><div></div></td></tr> <tr><td class='diff-marker'>−</td><td style="background: #ffa; color:black; font-size: smaller;"><div><del class="diffchange diffchange-inline">Loans that are secured by collateral typically have lower interest rates than unsecured loans. This is because they are less risky on the part of lenders, as the borrower has a strong incentive to continue payment</del>.</div></td><td class='diff-marker'>+</td><td style="background: #cfc; color:black; font-size: smaller;"><div></div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>= Find out more =</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>= Find out more =</div></td></tr> </table>

Designing Buildings https://www.designingbuildings.co.uk/w/index.php?title=Collateral&diff=76774&oldid=prev Editor at 11:38, 8 May 2017 2017-05-08T11:38:46Z

<p></p> <table style="background-color: white; color:black;"> <col class='diff-marker' /> <col class='diff-content' /> <col class='diff-marker' /> <col class='diff-content' /> <tr valign='top'> <td colspan='2' style="background-color: white; color:black;">← Older revision</td> <td colspan='2' style="background-color: white; color:black;">Revision as of 11:38, 8 May 2017</td> </tr><tr><td colspan="2" class="diff-lineno">Line 20:</td> <td colspan="2" class="diff-lineno">Line 20:</td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Equity in property.</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Equity in property.</div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Funding options.</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Funding options.</div></td></tr> <tr><td colspan="2"> </td><td class='diff-marker'>+</td><td style="background: #cfc; color:black; font-size: smaller;"><div><ins style="color: red; font-weight: bold; text-decoration: none;">* Liens.</ins></div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Mezzanine finance.</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Mezzanine finance.</div></td></tr> <tr><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Performance bond.</div></td><td class='diff-marker'> </td><td style="background: #eee; color:black; font-size: smaller;"><div>* Performance bond.</div></td></tr> </table>

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