Agreements – Business & Legal Agreements

Business Agreements

Credit And Share Pledge Agreement

April 29, 2013 by agri in Business Agreements with 0 Comments

A credit and share pledge agreement is one that is entered into between the shareholder and a financial institution that provides credit. The agreement is one in which the financial institution provides a credit against the pledge of shares by an individual or company. The line of credit provided by the financial institution after calculation of margin is based on the market value of the shares held by the shareholder.

The agreement provides details of the pledge and credit and includes details such as the mode of credit provided, amount of credit provided, beginning and end date of credit, name of the shareholder, status of the shareholder, address of the shareholder, profession of the shareholder, shares pledged, market value of shares, number of shares etc. The agreement has to be dated and signed by the shareholder in official capacity along with official seal in compliance to the terms that have been mentioned in it.



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