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What is the difference between mortgage and pledge? The essential difference
What is the main difference between mortgage and pledge? Wang is a third-year student in a university's economics. When he was pursuing an economic law course, he often encountered the words "mortgage" and "pledge". Because of the extensive content of the course, he never understood the mortgage and pledge. The difference is in the end, after finishing, Xiaobian will briefly summarize them as follows, hoping to help children's shoes that have not understood these two words.
First of all, the concept of the two is this:
Mortgage, the debtor or a third person is not transferred by law to do mortgaged property possession, the property as a secured creditor when the debtor defaults, the creditor is entitled by law to sell the mortgaged property price priority claim.
The pledge is that the debtor or a third party transfers its movable property to the creditor's possession, and the movable property is used as a guarantee for the creditor's rights. When the debtor fails to perform the debt, the creditor has the right to give priority to the price of the movable property according to law.
Secondly,The difference between the two mainly reflects the following points:
1. The subject matter of the mortgage is usually real property, special movable property (car, boat, etc.); the pledge is mainly movable property.
2. The mortgage must be registered to take effect, and the pledge is only required to be possessed.
3. Mortgage has only a simple guarantee effect, while the pledge pledger not only controls the quality, but also reflects the effect of the lien.
4. The realization of the mortgage is mainly through the application for auction to the court, and the pledge is directly sold.
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