Secured Transactions Chapter 30: Terms and Concepts
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Questions and Answers

What is the term used to describe a transaction in which the payment of a debt is guaranteed by personal property owned by the debtor?

  • Secured interest
  • Secured transaction (correct)
  • Collateral
  • Security agreement
  • What is the term used to describe the person or party that holds an interest in secured property?

  • Creditor
  • Collateral holder
  • Secured party (correct)
  • Debtor
  • What is the term used to describe the property subject to a security interest?

  • Collateral (correct)
  • Debtor's assets
  • Secured property
  • Security interest
  • What are the requirements for creating a secured interest?

    <p>written agreement and value</p> Signup and view all the answers

    What type of property can be used as collateral?

    <p>Goods, farm products, inventory, equipment, fixtures, and accessories</p> Signup and view all the answers

    What is the purpose of a security agreement?

    <p>To create a secured interest</p> Signup and view all the answers

    What is necessary for a security interest to be perfected by filing?

    <p>All of the above are necessary.</p> Signup and view all the answers

    What type of security interest is formed when a debtor uses borrowed money to buy collateral?

    <p>Purchase-money security interest (PMSI)</p> Signup and view all the answers

    How long is a financing statement valid for consumer goods?

    <p>5 years</p> Signup and view all the answers

    What is retained by the seller of the collateral?

    <p>The security interest</p> Signup and view all the answers

    What is required on a financing statement?

    <p>A description of the collateral</p> Signup and view all the answers

    Where must the financing statement be filed under the name of the?

    <p>Debtor</p> Signup and view all the answers

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