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Post by squeezedmiddle on Aug 1, 2017 8:18:24 GMT
For the QAA and 30 day account the expression "British businesses with realisable security" is used.
Is that realisable security always a capital asset like a building or can it be a personal guarantee? The latter would seem to me at least not to be an asset or necessarily realisable.
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Post by beeje13 on Aug 1, 2017 10:00:48 GMT
All AC loans are secured against assets.
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Post by squeezedmiddle on Aug 1, 2017 11:30:19 GMT
Believe I saw an MLIA secured on "personal guarantee"
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Post by beeje13 on Aug 1, 2017 11:51:36 GMT
Indded many loans do have a personal guarantee, but they are in addition to any 'realisable' security. AC values personal Guarantees and Debentures at £0 it seems.
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Post by stuartassetzcapital on Aug 1, 2017 12:37:56 GMT
We do not just take PG's as that is way too risky in many cases, we are not big fans of unsecured lending with just a PG to back it - PG's are just a way to keep borrowers enagaged with us and you will very often see them on loans as part of the security however we want supported PG's usually where there are personal assets behind the piece of paper.
We take tangible security on loans which means realisable and physical in almost every case. Property is the prime example but could include machinery and other physical goods etc in rare cases. Cash isn't there if a company folds, small high value stock can vanish and so on.
Less tangible assets can be included in rare and high quality borrower cases such as share portfolios that we can take control of but its not our usual policy.
Hope this helps.
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