secured creditor

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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.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved

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.
Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. All rights reserved. All rights reserved.

secured creditor

see CREDITORS.
Collins Dictionary of Business, 3rd ed. © 2002, 2005 C Pass, B Lowes, A Pendleton, L Chadwick, D O’Reilly and M Afferson
References in periodicals archive ?
The threshold inquiry should be whether the crammed-down secured creditors continuing lien provides adequate protection.
The FHLBanks indeed have better protection than an unsecured and other secured creditors in many circumstances--assuming no other valid secured creditor had possession of the collateral or filed a valid, prior financing statement.
Reuters added that under the deal offered to lenders, secured creditors would get paid in full in cash now and unsecured creditors would have to wait for payment, with the delay due to the recovery of assets at the holding company level, one of the sources said.
It is worth noting that there is no requirement for a secured creditor to be a licenced UAE bank under the new Moveable Pledge Law, although this requirement may be included in the later published executive regulations.
From experience, in the vast majority of cases when a bank appoints a RM they are under secured; in accordance with statistics from a survey conducted in the UK secured creditors were fully repaid in only 19% of receiverships suggesting that appointment by under secured charges are the norm, and the proposition that receivers are not adequately incentivised to maximize value, is flawed[11].
Usually, proposals are made only to unsecured creditors as the secured creditors generally have the right to operate outside this process.
This applies to non-secured creditors, but surprisingly also to secured creditors. The yield for secured creditors is in the vicinity of slightly lower that 25 % of the enforced sum.
The restructuring will see the insurance broker's senior secured creditors paying a nominal sum of GBP1.00 to take control of the company and remove most of its GBP1.05bn debt pile.
They will be treated as unsecured creditors by Ernst and Young and are unlikely to receive pay until secured creditors' claims are settled.
According to the notice of bankruptcy filed that day, the company, owned by Robert Lipic, owed $8.9 million in claims to unsecured creditors and an additional $2.1 million to secured creditors.
In other words, salaries have to be paid even before the secured creditors' dues are settled.