Security Agreement / General (England and Wales)

Most loans between a borrower and a lender are typically formalised with a promissory note. In many instances the lender will desire additional assurance that the loan will be repaid and ask that the borrower enter into a Security Agreement. This agreement is beneficial as it sets out the lender’s rights regarding collateral. A written Security Agreement will be invaluable in the event the borrower defaults on the loan. (continued ...)