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#412074 - 08/23/05 03:12 PM Lien Perfection for Stock Certificates
Anonymous
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What documents are necessary to perfect a loan secured with stock certificates? UCC? Security Agreement? Assignment of Certificates?

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Lending Compliance
#412075 - 08/23/05 03:41 PM Re: Lien Perfection for Stock Certificates
Cowboys Fan Offline
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Joined: Dec 2002
Posts: 4,600
SC
Stock certificate, stock power signed exactly like the stock certificate (one per stock certificate), security / pledge agreement.

That's if certificates have been issued. If you are taking an assignment of a brokerage account it would be handled differently.
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#412076 - 08/23/05 03:57 PM Re: Lien Perfection for Stock Certificates
HRH Okie Banker Offline
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Joined: Jan 2003
Posts: 3,070
Oklahoma
Don't forget:

Regulation U-1, unless stocks are not margin or publicly traded.

Check the certificate to see if there are any restrictions printed on the certificate to restrict pledging or cashing them in. Some certificates could have restrictions placed on them and those would be denoted by a large stamp detailing the restriction.

Stock Certificates are possessory collateral (unless held in a brokerage account). UCC-1 not necessary.
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Just working here until I get my letter from Hogwarts.

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#412077 - 08/23/05 04:07 PM Re: Lien Perfection for Stock Certificates
Cowboys Fan Offline
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Posts: 4,600
SC
I did forget about Reg U
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