The percentage advance constitutes the principal of the secured loan and varies not only according to the type and liquidity of collateral but also according to the type of security interest being taken.

Question

Quizplus · Accepted Answer

The statement is true. The percentage advance is an important factor in determining the principal amount of a secured loan, and it can vary based on factors such as the type and liquidity of collateral and the type of security interest being taken.

The Percentage Advance Constitutes the Principal of the Secured Loan