an unsecured debt is more risky to the debt-holder (the lender, also called creditor). in the event of non-payment of the debt, the lender cannot take assets. credit card debt is typically unsecured. if you charge items to a credit card and do not make the monthly payments, the credit card issuer can report the non-payment to the credit-reporting agencies. that will reduce your credit score so others will not lend you money. but usually they cannot take back whatever you bought with the card.