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Credit Dictionary

Unsecured Business Loan - A loan which is not secured by any collateral which is given to a business. Usually such loans do have some sort of security in the form of a lien placed on the business and a listing placed on the owner’s personal and/or business credit reports.

Unsecured Debt - A debt that has no collateral is an unsecured debt. Personal loans and credit cards are often unsecured.

“Upside Down” - When someone is upside down on their mortgage it means that they owe more than the appraised value of the home. This can happen due to overfinancing or by using negative amortizing loans etc. It is best to consult an investor who can possibly help an owner who is upside down.

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