Getting full power over your files at any time is important to ease your day-to-day duties and boost your efficiency. Achieve any goal with DocHub tools for document management and convenient PDF file editing. Gain access, modify and save and incorporate your workflows along with other protected cloud storage.
DocHub offers you lossless editing, the chance to work with any formatting, and safely eSign documents without looking for a third-party eSignature alternative. Make the most of your document management solutions in one place. Check out all DocHub features today with your free profile.
In this video, the discussion focuses on the accounting treatment of debentures issued as collateral security. Key points include defining collateral security, which refers to additional security provided by the borrower beyond the primary mortgage (also known as prime or principal security). Collateral security can only be realized by the lender if two conditions are met: the borrower defaults on interest or principal repayment, and the primary security fails to cover the loan liability. Debentures are typically issued as collateral when the borrower cannot mortgage an asset. The video explains these concepts to clarify the role of collateral in lending.