Mrojo borrowed N54,000 from a commercial bank and deposited his life insurance certificate with the bank. The certificate<br/>deposited serves as
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Correct Answer: Option B
Explanation:
Collateral security is an asset or valuable document given to a lender as security for a loan. In this case, the life insurance certificate is deposited with the bank as security for the N54,000 borrowed.
Collateral security is an asset or valuable document given to a lender as security for a loan. In this case, the life insurance certificate is deposited with the bank as security for the N54,000 borrowed.