________ is a process that establishes the right of a secured creditor against other creditors who claim an interest in the collateral.
A) Disposition of collateral
B) Retention of collateral
C) Perfection of a security interest
D) Repossession of a security interest

Question

Quizplus · Accepted Answer

Perfection of a security interest is the process by which a secured creditor establishes priority rights over other creditors who claim an interest in the collateral. This can be done by filing a UCC-1 financing statement, obtaining possession of the collateral, or other methods allowed by law. Disposition of collateral refers to the sale or transfer of the collateral to satisfy a debt, retention of collateral refers to a creditor's decision to keep possession of the collateral instead of liquidating it, and repossession of a security interest refers to the creditor's right to take possession of the collateral in the event of default.

________ Is a Process That Establishes the Right of a Secured