Type of financial security in which loans are secured by borrower's property is classified as

A municipal bonds
B corporate bonds
C U.S treasury bonds
D mortgages

Correct Answer: mortgages

Type of financial security in which loans are secured by borrower's property is classified as mortgages. A mortgage is a debt instrument, secured by the collateral of specified real estate property, that the borrower is obliged to pay back with a predetermined set of payments.

Related Questions

Answer the question on the basis of the given information. Businesses are suffering because of lack of money available for development loans.To help businesses,the government plans to modify the income- tax structure in order to induce individual tax payers to put a larger portion of their incomes into retirement savings accounts, because as more money is deposited in such accounts, more money becomes available to borrowers. Which of the following, if true, raises the most serious doubt regarding the effectiveness of the government's plan to increase the amount of money available for development loans for businesses?
Financial corporations which serve individual savers and commercial mortgage borrowers are classified as
Type of financial security whose payoff is linked to any other security is called

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