What is a unsecured debt?

Question

What is a unsecured debt?

Answer 1

A debt that is not tied to any item of property. A creditor doesn't have the right to grab property to satisfy the debt if you default. The creditor's only remedy is to sue you and get a judgment.

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Answer 2

The money is loaned to you solely on your word.

A secured debt has something behind it.  Eg, home loan is secured by house, car loan by car, a secured credit card by a savings account.  

Answer 3

Also known as a signature loan - a credit card is an excellent example.  It's simply your promise to pay.

A car loan is an example of a secured loan - you use the car as collateral and if you default, they take it.

Answer 4

An unsecured debt is a loan for which you do not need to put up colateral for.  An example would be a credit card.

Answer 5

An unsecured debt is a debt where there was no security to guarantee it,

A mortgage or a lien are examples of secured debt.

unsecured is where there are no assets attached to the debt.