If a shareholder borrows money and delivers stock as collateral security, the creditor has a perfected security interest in the stock without any filing by the creditor.

Name: If a shareholder borrows money and delivers stock as collateral security, the creditor has a perfected security interest in the stock without any filing by the creditor.
Brand: Quizplus
Rating: 4.8 (46 reviews)

Question

Quizplus · Accepted Answer

Delivery of stock as collateral security creates a pledge and gives the creditor a perfected security interest in the stock without any filing requirement.

If a Shareholder Borrows Money and Delivers Stock as Collateral