One of the most common examples of cross-protection is when you take out a second mortgage on your home. Second mortgages allow you to use the existing equity in your home as collateral for other expenses. But beware: if you are late with your second mortgage, you risk foreclosure of your home. The language is often understood as ”second mortgage” or ”setting up the car,” because that`s essentially what happens: the lender uses an asset that already insures an existing loan to insure the new credit. .