Financial institutions often require different kinds of collateral or securities in instances where their customers are seeking loans.
Banking
The following are the options available to creditors to recover from a defaulting debtor:
In a nut shell, the procedure to be followed in the registration of an Instrument creating a Charge is as follows:
Registration: For shares that are listed on the Nairobi Securities Exchange and have been dematerialised, security over those shares should be registered in accordance...
The Movable Property Security Rights Act, 2017 (“the Act”) was assented into law on 10th May, 2017.
Collateral is property, whether movable or immovable, tangible or intangible, that is offered as security for the repayment of a sum of money borrowed by a person or company.
Loan restructuring is a process in which borrowers facing financial distress renegotiate and modify the terms of the loan with the lender to avoid default.
A charge is a document that is prepared where a person wants a loan and as security for the loan, they provide the title of the land that they have.
When a debenture is used to create a security interest, the terms of the debenture will typically set out the enforcement procedure and provide for the appointment of a receiver and/or manager to undertake the procedure.
What is a Guarantee? A contract of guarantee is an accessory contract, by which the surety undertakes to ensure that the principal performs the principal obligations.