What are the differences among Mortgage, Pledge and
Hypothecation ? please any body reply me in simple language
as I have read many articals on it still I find my self
anble to explain it, I always get confused.
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Answer Posted / vinod
Mortgage: The asset will be with you. there will not any
change in the nomenclature of the asset. For eg. Building,
car, etc., Term loan on fixed assets.
Pledge : The physical position will be with the person from
whom loan has been taken. EG Jewel loan.
Hypothication : The item will be fixed. But individual
items will vary from time to time. Eg stock, Debtors. OD
from banks on hypothication of stock and detbtors
| Is This Answer Correct ? | 117 Yes | 43 No |
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