A fixed rate period loan agreement secured by a legal charge on a specific item of equipment or vehicle. Loan & Chattel Mortgage agreement is simple to understand and is typically used where a company is buying equipment which is not suitable for a Hire Purchase or Lease agreement.
Chattel mortgage generally carries a lower rate of interest, flexible payment structure, and thus proves to be better especially for business owners.
The Chattel Mortgage is a form of security that a Funder takes over the equipment you purchased. A mortgage is registered at Companies House informing any interested party that Funder has security in the equipment.
The most important advantage to a mortgage company is that assets which are kept as security are movable and can be sold off quickly in an event of a default. Automobiles, yacht or boats, mobile homes or trailers, electronic items, and appliances are all examples of movable property.
Call the Ignition Team to find out more on 01872 272 900 or 0330 010 4282.