📢 Too many exams? Don’t know which one suits you best? Book Your Free Expert 👉 call Now!
  • google app store apple app store
    • ✖

      Question

      A charge in or upon any movable property, existing or

      future, created by a borrower in favor of a secured creditor without delivery of possession of the movable property to such creditor is called:
      A Pledge Correct Answer Incorrect Answer
      B Hypothecation Correct Answer Incorrect Answer
      C Mortgage Correct Answer Incorrect Answer
      D Assignment Correct Answer Incorrect Answer
      E Valuation Correct Answer Incorrect Answer

      Solution

      Hypothecation is used as a security of movable assets while taking a loan from the bank. Here the possession of the security remains with the borrower instead of the lender.

      Practice Next
      More Accounts Questions