A security interest is a property interest created by agreement or by operation of law over assets to secure the performance of an obligation, usually the payment of a debt. It gives the beneficiary of the security interest certain preferential rights in the disposition of secured assets. Such rights vary according to the type of security interest, but in most cases, a holder of the security interest is entitled to seize, and usually sell, the property to discharge the debt that the security interest secures.
Read more about Security Interest: Rationale, Security, Types, Security Interest Vs. General Obligation, Perfection, "Quasi-security", United States (the Uniform Commercial Code), Civil Law Countries, See Also
Famous quotes containing the words security and/or interest:
“I think the girl who is able to earn her own living and pay her own way should be as happy as anybody on earth. The sense of independence and security is very sweet.”
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