Perfection by investment of collateral is one of the methods of perfecting a security interest under the UCC.

Question

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Perfection by investment of collateral is not a recognized method under the Uniform Commercial Code (UCC) for perfecting a security interest. Common methods include perfection by filing a financing statement, possession of the collateral, or control of the collateral for certain types of property.

Perfection by Investment of Collateral Is One of the Methods