Secured lending involves borrowing money using an asset as collateral. The lender often holds a legal charge, or other such security over the asset until the loan is fully repaid.
This type of lending is widely used in areas such as property finance, commercial lending, and business investment. It offers added security for lenders, reducing their risk if the borrower fails to meet repayment obligations. As a result, borrowers often benefit from more favourable loan terms compared to unsecured borrowing.
A solid understanding of the legal principles behind secured lending is crucial for both parties involved.
At Herrington Carmichael, our secured lending solicitors are experts in the legal framework surrounding secured finance transactions. Our job is to step in and protect your interests, whether you are a lender trying to recover funds, or a borrower facing legal action.
