The register of movable pledged property currently significantly facilitates the process of concluding any permissible transactions in which these objects can act as collateral. Given the fact that this database is single, any notary or person with access to the database can instantly check the current status of the proposed private property, which largely eliminates the possibility of fraud and improves the stability of the economic credit system and the conclusion of other similar transactions. In many cases, it was this system that made it possible for a very large number of people to get loans.
What is the registry of movable property liens
In order to prevent the possibility of discrepancies, to avoid the majority of fraud options and to allow clear recording of transactions between two persons (legal or physical), a registry of movable property liens was created. With the help of special electronic tools, the relevant persons having the necessary access to the described database have the opportunity to enter specific types of property there, and to remove them from the registry or change the data. All this is done through special notifications, the form of which is approved by law.
Among other things, both electronic remote filing of these documents and personal filing on paper are allowed. The movable property registry includes all information about the objects, their current and past status, which allows interested persons to quickly respond to changes, make them and perform other similar actions. If necessary, you can get absolutely all the information on the current and previous conditions of a particular type of property, which helps many organizations make decisions.
Notification Features
Despite the fact that all the information about private property in the database, that is, in a single register of pledges of movable property, is entered by a notary public, he is only responsible for the timeliness of entering the data. And the applicant is directly responsible for the current state of the property, whether there is permission from the mortgagor, whether all the information specified in the notification is correct, and so on. His signature confirms that this person is aware of this and that it complies with the requirements.
For example, if an object is already pledged at the time of entering the information, the notary is not required to warn all interested parties about this. Thus, movable property, the list of which is indicated in the notification, will be entered into the register again. In addition to the notification, the notary is also provided with all information not only about the collateral object, but also about the applicant. The person who represents the applicant must provide all information about himself. A simple example of this can be considered a bank. The notary must request documents about the bank, as well as information about the person who will directly represent the interests of the specified financial institution. That is, statutory documents of the bank and the passport of its representative will be required.
Notification
Notification of a pledge of movable property may be submitted both in electronic and in paper form. It can be submitted by both the mortgagor and the mortgagee on the basis of supporting documents. In this case, only the pledge holder can withdraw from the register. True, there are exceptions in the framework of which the owner of the property can also perform such actions if the bank (or another person) cannot do this for one reason or another. Naturally, all this is also done on the basis of the relevant papers, carefully checked by a notary.
When submitting in paper form, the applicant with all documents must be present in person at the office at the time of registration. If submitted electronically, a specially registered signature will be required, which indicates the identity of the applicant, while other supporting documents are not required. Similarly, notifications for data changes to the registry are submitted, excluded from it, and so on. After the application has been accepted, it is processed as soon as possible and entered into the register of registration of pledges of movable property.
Features of change and withdrawal
As mentioned above, the general system of making changes or removing from the registry is not difficult. The differences mainly concern the form of notification, as well as the one who has the right to carry out such actions. For example, in case of liquidation of the pledge holder, the mortgagor can also submit an application and achieve its fulfillment, which will automatically remove the property from the list of collateral objects. As a rule, after such actions a person ceases to fulfill his obligations to a financial organization. In addition, if the bank does not fulfill its functions and even after the full repayment of the debt does not remove the collateral property from the register, its owner can do it on his own subject to the availability of documents confirming the absence of debt. Such paper may be a letter from the bank about the absence of debt and the like.
Payment of notary services
Like any service, entering information into the register of liens of movable property has its own value. Typically, the notary's fees for such actions consist of a fee that he must pay to the registry, as well as the amount to which the notary directly evaluates his own services. Under certain conditions, payment can be minimized.
In addition, depending on the form in which the notice of pledge of movable property is filed, the payment system differs. So, when submitting on paper, cash is supposed to be paid, but if an electronic form was chosen, then payment is made in a non-cash way. Which particular species to choose depends on the applicant himself.
Extract from the registry
The notary has another rather interesting function that may be useful to certain individuals. So, this specialist can provide an extract on any specific object. Due to the fact that the database of secured movable property includes all the detailed information, an interested person can get the data he needs and take them into account in future work.
This is a very convenient feature that is important for banking organizations and other similar institutions. It makes it possible to fully assess all risks, which positively affects the economic efficiency of the work and the conditions for concluding transactions. At the same time, the owner also has the opportunity to request an extract on the state of his collateral. This is useful in some cases where there is a suspicion that a withdrawal notice was not filed in a timely manner by the former mortgagee.
What relates to movable property
In short, this is any object that can move around and at the same time is not real estate. By default, everything else is movable property, a list of which cannot be compiled due to the huge number of elements. The most common types of such objects are various vehicles, equipment of any type, machine tools, goods, materials, intangible assets and so on. Household appliances are also included in this list, so most often it is it that is a collateral object when buying in installments in stores. Large enterprises usually prefer to pledge real estate for which they have their own register of collateral, which already works with those objects that are not movable.
It should be noted that in some cases, a person may need to obtain information about the current state of a property owned. Typically, such a need arises in cases where it is planned to purchase something that may well be under encumbrance. You can check the status of the property on a specially created website for this, if you enter the required data.
Especially valuable movable property
In addition to the separation of movable and immovable property, objects that are pledged, can be divided by another feature. It already directly depends on the current activities of the mortgagor. Allocate one unique look - valuable movable property. Sometimes they add “especially valuable”. This type of property includes any property without which the activities of a legal entity become impossible. Thus, it can be concluded that this item applies exclusively to firms, companies and similar institutions that are both privately and publicly owned.
Moreover, the latter may cause certain problems. In particular, they relate to both the complexity of processing and the process of concluding a transaction. It is extremely rare for banks to agree to work with similar institutions if the remaining conditions are the same as in a normal situation. At the same time, sometimes the conditions are such that such a pledge can be considered very profitable and priority. Registration of movable property of this type is absolutely similar to standard objects. An example is the equipment used in the core business of a large industrial enterprise. Without it, the functioning of the company would be impossible.
Form of issue
A special notice is issued to the owner of the property stating the fact that his private property is secured. At will, this document can be provided both in paper and in electronic form. The second option is more convenient and simple, but most people prefer to have such data in real, paper form with all the necessary signatures and seals. This looks more impressive, and adds confidence that the objects of movable property are entered into the register correctly.
Real Estate Register
As a rule, banks prefer to take real estate as collateral, as it is more liquid and has the property not to lose value over time, but only to acquire. Especially for this there is a similar register of collateral for real estate. In general, the information that is entered into it is similar to that used for movable objects. Other features like depositing, notifications, statements and the like are very similar.
Step-by-step instruction
For example, the standard situation with obtaining a loan secured by movable property, we can identify several steps that need to be completed to conclude a transaction. The first step is the negotiation stage, in which the bank representative and the potential borrower agree on what amount of the loan and on the security of which will be transferred. Next, a notification is compiled. An approved form must be used, in which all required data about the property is entered. In most cases, the filing of such documents is used personally, so that the form is printed, signed and delivered to the notary so that he can enter information into the register of movable collateral. The applicant does this, that is, the representative of the bank, who should have with him not only a notice, but also all the documents of the financial institution, personal identification papers, and so on.
In some cases, copies, both certified and ordinary, will be sufficient. In another situation, only originals will be needed. This largely depends on the notary public and the degree of interaction and trust between him and the financial organization. Usually, an agreement is signed there, at the same time as the registration of movable property. Documents confirming this fact are transferred both to the employee of the financial organization and to the borrower in any chosen form. When applying electronically, the system is about the same, but you no longer need to go to a notary, but you need appropriate software, a signature key, and the like. In some cases, it’s easier to go to a notary public than to deal with the issue of registration of the possibility of working in electronic mode.
What should be in the notification
In the upper right corner of the document indicates information about the notary, who will register. In particular, in the upper two lines the direct name of the office is inscribed, and on the third and last, the name of the notary himself. The very first page no longer needs additional filling and is a typical one. Next are the following pages, which already describe in more detail the property that must be entered into the registry. The second page describes the vehicles. If several units are to be pledged at once, they are indicated in a column with the assignment of a separate number to each individual object in order. On the third page, information about all other types of collateral is entered.
That is, separately there is a form for transport and separately for other property. The following three pages describe the person who owns the property being pledged. The information may differ slightly depending on the form of ownership, as well as on the status of the person - citizen or non-citizen. The next three pages describe the mortgagee. The information in all these documents is quite standard, there are clear columns in which specific data are required, which can be taken from official legal documents. On the next page, information about the contract is entered, according to which the object is pledged. The remaining two pages should contain information about the person who acts as the applicant.
Common questions
When to sign a notification?
If it is submitted in paper form, it is obliged to be signed by the applicant directly at the notary’s office with his personal presence. In some cases, it is recommended to further focus on this element. If the notification of registration is in electronic form, then the signature, naturally, comes at the time of sending.
What are the features of electronic sending?
The document must be sent exclusively by secure communication channels, excluding fraud of any kind and interception of information. It should be borne in mind that the notary does not always promptly check information, so that after sending it will be a general recommendation to clarify the fact of receipt by any available means. This will help to eliminate the situation in which the entry into the registry is made a long time after the notification.
What is the best way to pay?
If the document is submitted in paper form, payment must be made immediately before registration. With electronic registration, money is sent by bank transfer. Ideally, they should be received until the moment the information is entered into the database, but this does not always work out. If the organization practices frequent work of this kind, an advance payment is possible for several registrations at once, which can be very convenient.
What to do when you need to deposit several objects?
Here it is necessary to focus not on the amount of movable property, but on collateral agreements. Separate information is entered for each of them, even if the objects on them are the same. That is, if several types of movable property are indicated in one agreement, then all of them are submitted in one notification.
Can property rights be a guarantee?
Yes, if specified in the contract. The design in this case is no different from other similar objects.
What are the deadlines for submitting notifications by the bank?
In general, no such restrictions have been established. That is, property can be entered into the register both at the time of conclusion of the contract, and after that, and this is not an error. However, in order to minimize risks, banks prefer to file a notification at the very moment when a transaction occurs.
Brief summary
The register of liens of movable property, as well as its analogue, aimed at working with real estate, is an important tool that significantly facilitates the conclusion of contracts and prevents the occurrence of potentially risky situations. The field of activity for so many scammers is also automatically limited.Similar systems exist in many countries of the world, and the benefits of this approach have been tested for a very long time. The main requirements for such registries are appropriate and affordable software, ease of handling, system intelligibility and data processing speed. All of them are taken into account and implemented, so that we can safely say about the success of the undertaking and its actual performance.