Changes

'''Security''' in law or business meaning rights in property that protect a lender against loss if the borrower defaults, or fails to repay, a [[loan]].  A [[mortgage]] on a home is the most common type of security for loans.

'''Security''' in law or business meaning rights in property that protect a lender against loss if the borrower defaults, or fails to repay, a [[loan]].  When a piece of property is used as security for a loan, the lendor has a security interest in such property.  It is important to distinguish between security interests and securities, which are stocks and bonds that represent equity or debt interests, respectively, in a corporation or other entity. 

 

The laws concerning security interests are separated into laws concerning personal property and laws concerning real property.  Security interests in personal property are governed by Article 9 of the Uniform Commercial Code, a form of which is in force in each state.  Security interests in real property are governed by the [[mortgage]] laws of each state, which vary considerably among the states.

 

[[Category:Legal Terms]]

[[Category:Legal Terms]]

[[category:bankruptcy]]

[[category:bankruptcy]]