Answer: Hypothecation
Step-by-step explanation:
Hypothecation is the process where an individual(debtor) secures a loan, by using his/her property as an insurance(collateral) to be claimed by the creditor in case, the individual(debtor) can't meet up with the loan payment.
Hypothecation is a common practice with commercial banks, where loans are given with a condition that a collateral is presented by the individual seeking the loan.