Have you applied for a loan at a bank or lending institution? You might have gotten a lease against the title of your residence or land. In these situations it’s useful to know information about this legislation. Moreover, the act for Personal Property Securities Register is an act that many aren’t aware of and have many doubts or questions about. It’s a legal process that doesn’t involve physical properties such as buildings and so on. Hence, here are some of the common frequently asked questions that you might have as well:
What is Personal Property Securities Register?
The PPSR is a register (national) that provides information of securities interests to customers planning to purchase personal property from traders, vendors, etc. Moreover, commercial establishments register with it to present proof of ownership of the securities. This Act is administered and examined by the Government of Australia. It was brought into action in the year of 2012 in January. It was implemented to replace existing registers such as State and Territory, Commonwealth and so on.
Who are the parties who could register with it?
If there’s a valid contract or agreement between the customer and the creditor, this creates a security interest. The following are some of the situations that qualify and are eligible to register:
– Loans taken against personal property such as an automobile.
– Title of property or agreement between suppliers and buyers.
– Long term leases such as for home or office furnishings.
– Hiring agreements (e.g. equipment).
What are the types of personal property that is covered by this law?
The criteria for categorizing PPSR is said to be anything that is tangible and intangible. However, in these categories real properties such as buildings, property infrastructure and land aren’t included. Here is a list of some of the securities that are covered under this act;
– Property such as automobiles, watercrafts, etc.
– Livestock and agricultural crops
– Intellectual properties including trademarks, copyrights and others
– Plant and machinery and many more.
What are the benefits of it?
With that said, there are a number of benefits that companies and buyers can gain from this act. These include the following:
– It protects business in the event of the client’s failure to meet the terms of the contract.
– On the other hand, the buyer is able to check if there’s any security interest, if he or she plans to purchase a personal property. EC Credit Control helps you with your business transactions through documentation and debt recovery.
There are various types of personal property that people purchase, hire and so on, which are stated above. The aforementioned facts are useful for commercial establishments and buyers. Moreover, for further information, you could search through the government website. There are customer agents that provide you with more information.