Cash pledged collateral are those assets which are used as an evidence and security against a loan. The assets are pledged by the borrower to the lender as a guarantee for the loan money. The pledged assets are also termed as hypothecation. The pledged assets still belong to the borrower but the creditor gets the claim against the pledged assets means a non possessory interest. This non possessory interest is provided by cash collateral pledge agreement between the borrower and lender in legal way in the presence of legal authority.
The legal document is crafted in which all the terms and conditions regarding collateral pledge are mentioned along with both the parties and witnesses’ signatures and then this document gets notarized by public notary to convey this as a written legal proof of the oral commitments between both the lender and the borrower. The creditor can sell the pledged collateral by using this agreement in case of borrower’s default.
Download this USA Attorney made original Agreement for only $9.99
If you need any alterations or have any queries, please contact us before downloading.