Question
Which of the following may fall under the category of collateral?(1 point)
Responses
a high salary
a high salary
a previous loan that was repaid in full
a previous loan that was repaid in full
an antique vase valued at $125,000
an antique vase valued at $125,000
a credit card balance of $12,000
Responses
a high salary
a high salary
a previous loan that was repaid in full
a previous loan that was repaid in full
an antique vase valued at $125,000
an antique vase valued at $125,000
a credit card balance of $12,000
Answers
GPT-4o mini
The option that may fall under the category of collateral is:
**an antique vase valued at $125,000**
Collateral is typically an asset that a borrower offers to a lender to secure a loan. In the case of a default, the lender has the right to seize the collateral. A high salary, a previous loan that was repaid, and a credit card balance do not qualify as collateral.
**an antique vase valued at $125,000**
Collateral is typically an asset that a borrower offers to a lender to secure a loan. In the case of a default, the lender has the right to seize the collateral. A high salary, a previous loan that was repaid, and a credit card balance do not qualify as collateral.