Glossary · Financial Portfolio

What is a secured loan?

A secured loan is backed by an asset provided as security. If the borrower does not meet their obligations, the lender may have rights over that asset.

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Plain English. Australian context.

Secured loan

Know what the term means, what it does not mean and where to go next.

Meaning & context

What it means for your records.

Plain-English information to help you organise your financial picture.

Financial Portfolio editorial team
Australian record-keeping context
Updated 7 October 2026

A simple example

A vehicle recorded at A$30,000 might secure a loan with A$18,000 outstanding. Keep one vehicle asset and one loan liability, linked to show the relationship.

What to keep in your records

Record the borrower, lender, balance, security asset and document location. The amount owed and the estimated asset value need separate dates and sources.

A common mix-up

Security does not remove the obligation to repay. Nor does the asset’s recorded value prove what a lender would recover or what would remain after a sale. Read ASIC Moneysmart’s explanation.

Is a secured loan also a liability?

Yes. Secured describes the lender’s security arrangement. Liability describes the debt owed in your financial records.

Where can I check the meaning of secured loan?

Use the ASIC Moneysmart source alongside the relevant statement or product documents. The examples here explain the term; they do not recommend a financial product.

Start with what you have

Bring your financial life into focus.

You do not need every detail on day one. Start with the records that matter most, then build a clearer picture at your own pace.

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