In pledge, the possession of goods is with the creditor (pawnee) which can be

(a) actual – where the goods are actually in possession with the creditor (b) symbolic – where the pawnor hands over the control of the goods to the pawnee without actual delivery (c) trust receipt – where the goods are released to the pawnor without payment, by the pawnee on the basis of an undertaking

In the case of pledge, the possession of pledged goods will be passed on to the pawnee from the pawnor, and the possession of moveables will be transferred to the pawnee and he will be in possession and the pawnor will not be able to enjoy the same as the possession has already been parted with the goods. So, pledge deals with transfer of possession of moveable property to the creditor as security to the loan advanced.