Which of these provides a bank with collateral on a car loan?
A. The car itself
B. The buyer's home
OC. A savings account
D. The driver's credit history



Answer :

Final answer:

Collateral on a car loan involves using the car itself as security to protect the bank's interests.


Explanation:

Collateral on a car loan typically involves the car itself being used as security for the loan. If the borrower defaults on the loan, the bank can seize and sell the car to recover the money owed. This provides the bank with assurance that there is asset value tied to the loan.


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