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Financial Terms / M - N / Mortgage


The mortgage is an agreement between you as a borrower and a lender/creditor that gives the lender the right to take away the asset you have borrowed money for if you fail to pay back the principal or interest payments as stipulated by the conditions of the loan.

The borrower tends to repay the loan over time without unforeseen circumstances. However, if the borrower cannot repay the loan, the property/asset is seized.

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