The document granting the security interest can be called by different names, but the most common names are “Mortgage” or “Deed of Trust.”
What do you mean by security interest?
Definition of security interest
: the rights that a creditor has in the personal property of a debtor that secures an obligation : lien.
What are the 3 types of security interests in real property?
Types of security interest
“There are only four kinds of consensual security known to English law: (i) pledge; (ii) contractual lien; (iii) equitable charge and (iv) mortgage. A pledge and a contractual lien both depend upon the delivery of possession to the creditor.
What is a security interest under the PPSA?
A security interest under the PPSA is an interest in personal property provided for by a transaction that, in substance, secures payment or performance of an obligation, without regard to the form of the transaction or the identity of the person who has title in the property.
Which of the following is an example of a security interest?
A common example of a security interest is a real estate mortgage or deed of trust. … Under a security agreement, the debtor’s personal property (non-real estate) and intangibles, such as intellectual property, are often used as collateral.
Is a security interest an equitable interest?
Even though it may arise through an imperfect conveyance, the will to agree to grant a security interest existed initially, and therefore equitable mortgages arise by way of agreement also.
Who is grantor of security interest?
An individual or an organisation who owns or has an interest in the personal property to which a security interest is attached. A grantor includes an individual or an organisation who receives goods under a commercial consignment, a lessee under a PPS lease, and a transferor of an account or chattel paper.
How do you establish a security interest?
However, generally speaking, the primary ways for a secured party to perfect a security interest are:
- by filing a financing statement with the appropriate public office.
- by possessing the collateral.
- by “controlling” the collateral; or.
- it’s done automatically upon attachment of the security interest.