To make a security interest subject to better enforcement, the creditor should make sure the interest is attached and perfected.

Question

Quizplus · Accepted Answer

A security interest must be attached to the collateral and perfected to be enforceable against third parties or in bankruptcy proceedings. Attachment establishes the creditor's right to the collateral, while perfection puts others on notice of the creditor's claim and priority in case of competing claims or insolvency.

To Make a Security Interest Subject to Better Enforcement, the Creditor