In terms of debt, unsecured notes refer to those that are not backed by specific assets. This form of financing is particularly attractive to REIT's because it does not encumber specific properties. Unsecured notes also enable REIT's to tap longer term financing than might be available from other lending sources.
Backed not by collateral but only by the integrity of the borrower. opposite of secured. see also commercial paper, debenture, line of credit, subordinated debt.
Brazos HELP loans are unsecured. An unsecured loan means that the loan is not secured with collateral, such as a home, car or bank account. Secured loans allow a lender the option of selling your collateral to apply the proceeds to your unpaid debt if you fail to repay the loan. A customer qualifies for unsecured credit based on their credit history and financial strength. Unsecured loans usually have higher interest rates than secured loans since the lender assumes more risk.