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ARTICLE · 05 APRIL 2022

Forms Of Security To Acquire A Loan

Zenas Chambers, ChimwaMurombe Legal Practice
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Zimbabwe is a widely informal market where many people are starting their businesses and the issue of capital is always critical.

ZimbabweFinance and Banking

Introduction

Zimbabwe is a widely informal market where many people are starting their businesses and the issue of capital is always critical. Many people sometimes fail to create value through the assets which they already have. This article will focus on securities interest on movable properties and mortgage bonds on immovable properties. The money lenders that is banks and microfinances accept these types of securities and others as will be illustrated in this writing.

Security interests

This is a form of security where a debtor gives a movable asset in favour of a creditor as security in the event that the debtor defaults. A thing is considered to be movable if it can be moved from one place to another without being damaged or without losing its identity. The movable property can be in the form of corporeal or incorporeal property. Corporeal movable property is property that has a body and can be touched, for example motor vehicles, farming machinery,

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The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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