Question

s i automatically when the time expires all the time, 5 minutes, 1 minute, and 30 seconds remain Multiple Attempts Not allowed. This test can only be taken once Force Completion This test can be saved and resumed at any point until time has expired. The time will continue to run if you leave the test. Remaining Time: 1 hour, 45 minutes, 51 seconds. Question Completion Status: As Moving to another question will save this response. << Question 24 of 60 >>> Question 24 1.667 points Save Answer Big Bank loans money to Sam, securing the loan with personal property owned by Sam. Bank is advised by its attorney to file a financing statement Bank doesn't understand why it should spend the extra money for this filing, since Sam has told them that he has no other creditors Why should Bank file a financing statement? a. Filing the financing statement is necessary to complete the attachment requirement in order to create a security interest b. There are criminal penalties for failing to file. c. The financing statement allows Bank to repossess the collateral (Sam's personal property securing the loan) on default without a court order, even if doing so breaches the peace. d. The financing statement will protect Bank's priority rights with subsequent creditors who also take a security interest in the same personal property Question 24 of 60 >>>> Moving to another question will save this response. &40 sa

Answer 1

The answer is given below:

c. The financing statement allows Bank to repossess the collateral (Sam’s personal property securing the loan) on default without a court order, even if doing so breaches the peace.

Financing statement typically means a document which contains information about a security interest in collateral which is used to secure dept. Banks usually need to take this statement in order to retake the position of the property when an individual defaults on payment.