quiz\nquestion 4 of 8\nelliott renovates his home using a loan that requires him to sign over the title to…

quiz\nquestion 4 of 8\nelliott renovates his home using a loan that requires him to sign over the title to his car if he doesnt pay as promised. what type of loan does elliott have?\nselect a response.\neducation loan\ninterest-free loan\nsecured loan\nunsecured loan

quiz\nquestion 4 of 8\nelliott renovates his home using a loan that requires him to sign over the title to his car if he doesnt pay as promised. what type of loan does elliott have?\nselect a response.\neducation loan\ninterest-free loan\nsecured loan\nunsecured loan

Answer

Brief Explanations:

A secured loan is defined by the requirement of collateral—an asset the lender can claim if the borrower fails to repay the loan. In this case, Elliott's car title serves as collateral for his home renovation loan. Education loans are for educational expenses, interest-free loans have no interest charges, and unsecured loans require no collateral, so none of these match the scenario.

Answer:

Secured loan