Secured Loans

Another problem exits of creating the secured debt. Debt becomes secured loan by a contractual agreement among the parties , statutory lien or the judgement lien . Contractual agreements becomes secured loans by Purchased Money Security Interest (PMI), here the creditors takes the security interest in the products purchased , and a Non Purchased money Security Interest (NPMSI) loan , here the creditors takes a security interest in terms of the debtor that already owners.