secured creditor


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Related to secured creditor: Unsecured creditor

Secured Creditor

One who is owed a collateralized debt. A secured creditor has a lien or collateral on the debt, depending on the nature of the goods. In the event of bankruptcy in the United States, a general creditor has a right to repossess the property if the debt is not paid, especially in case of bankruptcy. In Chapter 7 bankruptcy, secured creditors are usually allowed to repossess the property even if the debt is discharged. The creditor may waive this right if the debtor reaffirms the debt, that is, signs a statement indicating that the debt still exists. See also: General creditor.

secured creditor

A creditor having a claim that is protected by specific assets. For example, the owner of a mortgage bond can force the sale of or can take possession of a particular asset if the borrower fails to meet the terms of the lending agreement. Compare unsecured creditor.

secured creditor

see CREDITORS.
References in periodicals archive ?
The requirement for a secured creditor to give ten days notice to a debtor prior to enforcement may imperil the security.
Under Revised Article 9 of the Uniform Commercial Code, which will take effect in many states on July 1, 2001, a secured creditor can perfect a security interest in a certificate of deposit by either taking possession of the CD or filing a UCC financing statement.
Under a marshaling theory, where a senior secured creditor such as CIT could collect its claim against more than one property or fund held by the Debtor and a junior secured creditor (which Galey asserted it was as a result of its reclamation claim) can proceed against only one of those sources, the senior secured creditor (CIT) could first be compelled to collect amounts owned to it from the property or fund in which the junior secured creditor (i.
Once the collateral has been attached, the secured creditor needs to perfect the security interest.
Privately-appointed receivers serve the secured creditor that appointed them and will deal with assets covered by the loan agreement.
If the value of the property is more than the claim, the liquidator may also convey the property to the secured creditor in payment of the claim but, in turn, the secured creditor must deliver the excess amount to the liquidator.
The sale of Urologix's operating assets was contemplated by a forbearance agreement entered into with the secured creditor on 7 December 2015.
You're depriving a secured creditor the opportunity to hold onto an asset if he believes the asset is being undervalued," said Justice Samuel Alito.
These statistics show that the administration process is much preferred mainly because secured creditors determine the process in contrast only a small percentage of CVAs work through successfully.
Bankruptcy Code, which was originally filed July 21, 2000, when a planned sale of 1,000 acres it owned at Maumelle fell through and a secured creditor sought to foreclose on the land.
Those receivables, which are needed to operate on a day-to-day basis, will be available only if the secured creditors agree, or in the absence of an agreement with a secured creditor, if the Court is satisfied that the secured creditors can be granted adequate protection The success or failure of this issue can torpedo a Chapter 11 proceeding.