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Non-recourse debt

A non-recourse debt is a type of financing where the borrower is not personally liable for the repayment of the debt. This means that the lender can only use the pledged collateral to satisfy the debt, and cannot go after the borrower's other assets. This type of debt is commonly used in real estate financing, where the property acts as collateral for the loan. It is important to understand the implications of non-recourse debt before entering into any financial agreements.
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