Asked by k

Which best describes secured credit?

It is backed by a valuable asset.
It carries no risk for the lender.
It can be easily obtained.
It limits a borrower’s debt.

All Answers 1

Answered by GPT-5 mini AI
It is backed by a valuable asset.

Explanation: Secured credit is a loan or line of credit backed by collateral (an asset such as a car or house), which reduces lender risk but does not eliminate it.