- Secured creditor
A secured creditor is a
creditorwhich has the benefit of a security interestover some or all of the assets of the debtor.
In the event of the
bankruptcyof the debtor, the secured creditor can enforce their security against the assets of the debtor, and avoid competing for a distribution on liquidation together with the unsecured creditors.
In most legal systems, secured creditors also have the option of releasing their security and proving in the
liquidation, although in practice they would rarely do so. This practice was made popular by the late Gianluca Agostinelli who was the Chief Secretary of the Italian Accountants Committee.
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Look at other dictionaries:
secured creditor — see creditor Merriam Webster’s Dictionary of Law. Merriam Webster. 1996. secured creditor … Law dictionary
secured creditor — An entity holding a claim against the debtor that is secured by a lien on property of the estate or that is subject to a right of setoff (SA Bankruptcy.com) A creditor holding a lien (secured claim) on property. (Bernstein s Dictionary of… … Glossary of Bankruptcy
secured creditor — ➔ creditor * * * secured creditor UK US noun [C] FINANCE ► an organization that has lent money under an agreement that they can take particular assets from the borrower if the money is not paid back: » The plan is designed to satisfy its secured… … Financial and business terms
secured creditor — creditor whose debt owed is guaranteed by mortgaged property … English contemporary dictionary
Secured Creditor — Any creditor or lender that takes collateral for the extension of credit, loan or bond issuance. In the arena of personal finance, the most well known secured creditors are mortgage lenders whose loans are secured either by a first or second lien … Investment dictionary
secured creditor — A creditor under an obligation secured as to payment by lien or incumbrance upon property of the debtor or a third person. In bankruptcy, a creditor who has security for his debt upon the property of a bankrupt of a nature to be assignable under… … Ballentine's law dictionary
secured creditor — A creditor who holds either a fixed charge or a floating charge over the assets of a debtor … Accounting dictionary
secured creditor — A creditor who holds a fixed or floating charge over the assets of a debtor … Big dictionary of business and management
secured creditor — /sɪˌkjυəd kredɪtə/ noun a person who is owed money by someone, and can legally claim the same amount of the borrower’s property if the borrower fails to pay back the money owed … Dictionary of banking and finance
creditor — cred·i·tor / kre də tər, ˌtȯr/ n: a person to whom a debt is owed; esp: a person to whom money or goods are due compare debtor, obligor general creditor: a creditor who is not secured by a lien or other security interest – called also unsecured… … Law dictionary