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Debt-Mortgage-Refinance.com |
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Unsecured Debt Defined Unsecured Debt generally arises from a contract you enter into with a creditor, which enables you to obtain goods or services on credit in exchange for your promise to pay the creditor back. This is debt not collateralized by property and commonly includes credit cards, medical bills, commercial debt, personal loans, and consumer debt. If you fall behind on this type of debt, the lender’s recourse is to take legal action. |