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Answer Posted / shilpa arora
Collateral Security
By collateral security is meant stocks, bonds, and other
evidences of property deposited by the borrower to secure a
loan made to him by the bank. Such securities are deposited
as a pledge or guarantee that the loan will be repaid at
maturity; if not paid the securities may be sold to
reimburse the lender.
| Is This Answer Correct ? | 35 Yes | 5 No |
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