The transfer of collateral to the secured party for the purpose of perfection is called the ________
A) purpose
B) pledge
C) endeavor
D) detriment
E) collateral

Question

Quizplus · Accepted Answer

The transfer of collateral to the secured party for the purpose of perfection is called a pledge. This is a legal process where the borrower gives the lender an item of value as security for a loan, ensuring the lender can claim this item if the loan is not repaid.

The Transfer of Collateral to the Secured Party for the Purpose