To give a security interest in a value, such as shares of a company, for the creditor to retain until a credit is repaid. It is a method of ensuring payment. When two individuals or legal entities sign a contract, the debtor receives a service or a product from the creditor for which it will have to pay. The creditor may require a real movable guarantee to support payment and obligations estimated in the contract. In that case, the debtor has the option to pledge the collateral, which implies that if the contract expires and payment is not made, the creditor has the right to demand the execution of the pledge. When the obligations or payment are settled, the pledge is released as agreed and the relevant communications must be made to depositary entities, banks, and notaries according to the requirements of the current legislation.
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