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  • Banking Fundamentals and Financial Institutions
  • When a consumer durable item is financed by bank, what ki...
Multiple choice

When a consumer durable item is financed by bank, what kind of charge does the bank have over the primary security?

  1. Pledge

  2. Hypothecation

  3. Assignment

  4. Lien

  5. Loan

Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Charge can be a hypothecation where the possession of the security is with the borrower.

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