That would be just as big a mistake on their part as it was for you to lend on an unsecured basis.    

Unsecured loans cannot be used for down payments.

Sorry; they left the front door unlocked and while the place was unsecured all remaining items were stolen.Although your tenants have TOLD you to use the security deposit for damages (and did they pay rent this month?)

It wrecked me at the time mentally since I'd never so much as paid a late fee on anything the first 35 years of my life, but in hindsight it was smart having that money unsecured. 

@Juan AlvarezGo out and get an unsecured business line of credit before you need it.

So at that point you have an unsecured note and your recourse is to sue on the note if they wont pay.. and or sue for fraud if they never gave your security but inticed you to make this loan saying there would be security.. so as to not throw your borrower under the bus here you may not be fully aware of what deal you actually made.hope this helps giving you next step but if its a significant amount of money I would get a consult with a RE attorney.

Peer to peer financing is just and unsecured loan backed through people - we used prosper.com.

Is there a site/business/bank that specializes in unsecured loans for a down payment?

Looking for unsecured loans/ credit lines to use for six months to a year.

Has anyone approached a bank / financial institution to propose opening an UNSECURED line of credit solely for use to buy, rehab and either hold or flip?