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Marysya12 [62]
3 years ago
7

Which term describes the right of a lender to sell collateral to get back the principal if the borrower cannot repay the loan?

Mathematics
1 answer:
Ivanshal [37]3 years ago
8 0

Answer:

Lien.

Step-by-step explanation:

A loan can be defined as an amount of money that is being borrowed from a lender and it is expected to be paid back at an agreed date with interest.

Generally, the financial institution such as a bank lending out the sum of money usually requires that borrower provides a collateral which would be taken over in the event that the borrower defaults (fails) in the repayment of the loan.

Lien is a term which describes the right of a lender to sell collateral to get back the principal if the borrower cannot repay the loan. In order to be able to determine whether a borrower would default on the repayment of a loan, lenders usually check the credit score of the borrower.

A credit score can be defined as a numerical expression between 300 - 850 that represents an individual's financial history and credit worthiness. Therefore, a credit score determines the ability of a borrower to obtain a loan from a lender.

This ultimately implies that, the higher your credit score, the higher and better it is to obtain a loan from a potential lender. A credit score ranging from 670 to 739 is considered to be a good credit score while a credit score of 740 to 799 is better and a credit score of 800 to 850 is considered to be excellent.

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Step-by-step explanation:

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Step-by-step explanation:

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What is the length of side a?
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\huge \bf༆ Answer ༄

According to given figure, The Triangle BDC is a right angled Triangle (Angle D = 90°)

So, we can apply Pythagoras theorem to find the Side a (Hypotenuse)

Now, let's solve ~

  • \sf \: BD {}^{2}   + CD {}^{2} =   BC {}^{2}

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  • \sf \: a  = 5 \: units

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