signature loan
Promise-backed personal loan
A signature loan is an unsecured personal loan backed only by the borrower's promise to repay—their signature on the agreement—rather than by collateral like a house or car.
Because the lender has no asset to claim if the borrower defaults, signature loans typically carry higher interest rates and require good credit: She took out a signature loan to consolidate her credit card debt.
- unsecuredNot backed by collateral
- personalRelating to one's self
- borrowerOne who takes temporarily
- creditRecognition or payment deferral
- credit scoreNumerical measure of borrower reliability
credit check · lender · bank · interest · interest rate · repayment · approval · good faith · installment · principal · APR · creditworthy · promissory · cosigner · debt · debt consolidation · funds · cash
signature loansecured loan
Borrowing with pledged collateral
mortgage · auto loan · home equity loan · title loan · boat loan
signature, loan, sign, signal, signify, significant, significance, signification, signatory