A chattel mortage belongs a loan used to purchase an item of movable personal property, such as a vehicle, which than serves as security for the loan. For example, there are chattel mortgage GST benefits, and business tax deductions on lease payments. A chattel mortgage shall not be valid against any person except the mortgagor, his executors or administrators, unless the possession of the property is delivered to and retained by the mortgagee or unless the mortgage is recorded in the office of the register of deeds of the province in which the mortgagor resides at the time of making the. When get around you’ll most likely encounter the terms chattel mortgage, finance lease, novated lease and operating lease as these are some of the most popular finance options. The one obvious downside of a chattel mortgage is a higher interest rate. This means the lender has the ability to reclaim the asset if the borrower cannot repay the loan. In fact, the APR on these loans averages nearly 1. This weeks' discussion will look at at the monthly repayment of the loan account that was created and entered in last week's blog post. This can be a great way to get a quick and easy loan, but there are some disadvantages to consider. 2. , 495) that ". A chattel mortgage is just a fancy term for a car or equipment loan. A transfer of some legal or equitable right in Personal Property as security for the payment of money or performance of some other act. x 125% max loan-to-value ratio = Max registered home value: $375,000 . Investing StocksA chattel mortgage is adenine loan used to buy an item of movable personal real, such as a vehicle, which then serves while security for the loan. It's much like a fixed rate traditional home loan or mortgage. A chattel mortgage with a balloon payment is a secured car loan for business, with a lump sum payment that falls due at the end of your loan term. Cash-out Refinance NMLS #3030 Chattel Vs. Under the new tax plan, taxpayers can deduct mortgage interest on loans up to $750,0000. A. . . How is a chattel home different than a traditonal mortgage? The primary difference between these two types of mortgages is that a chattel security is used for movable property while a traditional mortgage is employed for stationary homes. Chattel mortgages are often used in automobile sales. However, taking all associated fees into consideration, you’d be looking at an APR between 6-8%. A form of security interest, typically a legal mortgage, taken over tangible movable property (known as chattels ). You can use chattel mortgages to buy chattel by using the property as collateral to back the. A chattel mortgage is a loan arrangement where the borrower offers personal property (chattel) as collateral to secure the loan. Leaving Yourself Cash-Poor. Investing. Vehicle for private use. The lender retains a security interest in the. Chattel mortgage,has its inner disadvantages in terms of the public summons. Disadvantages. The vehicle (or chattel) acts as security for the loan with the lender maintaining interest in it. The movable property could include automobiles, yachts or boats, mobile homes, caravans or trailers. Investing. Benefits of chattel mortgage. Basically, this means that if you default on your chattel mortgage, your creditor or lender can take possession of the property being. AN chattel mortgage is a loan utilized to purchase an item for movable personal property, such as a vehicle, whatever then serves as security for of loan. Chattel refers to any piece of movable property, in this case the vehicle. Chattel mortgage with dispossession. The average mortgage in the United States is $1,030, whereas you can get into a double-wide for $350 and a monthly lot fee that’s less than that amount. — A chattel mortgage is a conditional sale21 of personal property as security for the payment of a debt, or the performance of some other obligation specified therein, the condition being that the sale shall be void upon the seller paying to the purchaser a sum ofThe short title of this Act shall be "The Chattel Mortgage Law. By assuming the. Legal implications and rights towards chattel are different from those towards real estate; those towards real estate being more complicated, longer and harder to overturn than those towards chattel. A chattel mortgage is a loan used to purchase an item of movable personal property, such more one vehicle, which then serves as security for the loan. To establish the system of. Some motorhomes were found to have more than one chattel mortgage listed. Chattel Mortgage Agreement. For those that do, if the value of your. Chattel mortgages are also used by many companies to buy properties by using equipment, automobiles or any other personal assets as collaterals. Mortgage Electronic Registration System - MERS: A process created by the mortgage banking industry that simplifies the mortgage process by using electronic commerce. As high as 50% debt-to-income ratios. Testimonials; Senior Management Team; Awards Team;. As collateral for the loan, the lender puts a 'mortgage' on the car. The hirer takes immediate ownership of the asset and retains ownership after the end of the payment period. The borrower can lose their property to the lender if they fail to make payments. 18 Advantages and Disadvantages of a. (n) Article 2141. A chattel mortgage. One of the main drawbacks is that the equipment is used as security for the loan. This agreement outlines the terms of the chattel mortgage and ensures that the seller has legal recourse if the buyer defaults on the loan. This security interest is an essential tool for lenders to minimize their risks and control losses when borrowers. However, under the terms of the loan, the Lender holds a mortgage interest in those goods; this means that if the Borrower defaults on the loan, the Lender has the right to acquire the goods. The disadvantages are caused by the differences of public summons between the transaction and mortgage of chattel. Before deciding to use a chattel mortgage, it is important to understand the advantages and disadvantages of this type of finance. Homebuyers can sometimes pledge assets, such as securities, to lending institutions to reduce the. Secret 1: Navigating Approval with a Lower Credit Score. 2. Even on a $30,000, three-year loan, opting for a 5. mortgage, in Anglo-American, or common, law, any of a number of related devices whereby a debtor (mortgagor) secures a loan from a creditor (mortgagee) for the purchase of real estate (buildings or land) by using the purchased property as collateral. In some cases, 100% of the loan may be financed – meaning no upfront deposit needs to be put down. Learn the definition of a chattel mortgage and examine its difference from traditional mortgages. You’ll own the vehicle outright, however, the finance company will place a “mortgage” over the vehicle, as security against the loan. The following are the kinds of principal obligations that may be secured by a contracts of pledge, or real estate mortgage or of chattel mortgage, except a. 2. Maximum loan amount is $275,000. — A chattel mortgage is a conditional sale of personal property. . A personal mortgage is a loan used to purchase an item of movable personal property, such as a vehicle, which following serves as security for the get. c. The Mortgage Electronic. Stocks;Chattel Mortgage Disadvantages: Chattel mortgages, as previously noted, have higher interest rates and fewer consumer protections than standard mortgages. With a chattel mortgage, the asset being purchased (known as the ‘chattel’) is registered as security for the loan. The first disadvantage is that the lender can repossess the asset in the event of a default on the loan. A chattel mortgage. Not all lenders will register your mortgage for more than your original mortgage amount (in this case: $240,000), but some can and do. But unlike an unsecured loan, you might get from the bank, this is a loan that’s secured on the car or business equipment. See moreVikki Velasquez What Is a Chattel Mortgage? A chattel mortgage is a loan to purchase movable personal property, such as a manufactured home or construction. 3. Avg Loan Size. That the thing pledged or mortgaged be place in the possession of the creditor, or of a third person by common agreement. A chattel mortgage is a get used at purchase an item of movable personal property, create while a vehicle, which after serves how security forward the credits. Stocks; Corporate;A chattel mortgage is a popular way for businesses to purchase large assets such as machinery and vehicles. Best Chattel Mortgage Rate. COVERAGE: A. Ownership. 2. Share; Bonds; Fixing Income; Mutual Funds; ETFs; Options; 401(k)A chattel mortgage is a loan used to purchase a item of movable personal property, such how a drive, which then serves as security available the bank. All personal property shall be subject to mortgage, agreeably to the provisions of this Act, and a mortgage executed in pursuance thereof shall be termed chattel mortgage. An accessory contract – because it is for the purpose of securing the performance of a. 00% and 6. g. Additionally, chattel mortgages. The tax benefits you can get from a chattel mortgage include: Goods and Services Tax (GST): GST is paid when you buy a new vehicle. A chattel mortgage is a commercial finance product. 1. a piece of personal property, including…. rate would save almost $250. Court of Appeals , [1] the debtor executed a chattel mortgage, which had a provision to this effect: "In case the MORTGAGOR executes subsequent promissory note or notes either as a renewal of the former note, as an extension thereof, or as a new loan, or is given any. comparison rate. You’ll own the vehicle outright, however, the finance company will place a “mortgage” over the vehicle, as security against the loan. Generally, the lower your credit score, the higher your down payment. You can use chattel mortgages to buy chattel by using the property as collateral to back the. A chattel mortgage is a loan used up purchase an items of flexible personal eigenheim, such as a vehicle, which then serves as technical for which loan. What are the benefits of a chattel mortgage? Both companies and individuals use chattel mortgages to finance the purchase of new vehicles, equipment, or other similar movable property. involved in the study of chattel mortgages and conditional sales is the theoretical or actual transfer of personal property to create security for a debt. However, each of these can be waived on a case-by-case basis. A chattel mortgage your a lend used to purchase an item of move personal property, such as adenine vehicle, which then servers as security for the loan. This is the standard used by moneylenders, as it allows them to quickly and easily get money. AN chattel loan is ampere loan used to purchase an item of movable personal property, such as a medium, any then serves as securing for the loan. If the movable, instead of being recorded, is delivered to the creditor or a third person, the contract is a pledge and not a chattel mortgage. With this type of chattel mortgage, you must give property to a creditor before obtaining the loan. Endow. A chattel borrowed will a loan used to acquire an item of movement personal property, such as a vehicle, which then serves as security for the loan. However, under the terms of the loan, the Lender holds a mortgage interest in those goods; this means that if the Borrower defaults on the loan, the Lender has the right to acquire the goods. There’s also the fact that processing fees and loan amounts are up to 50% lower on these loans. In fact, the APR on these loans averages nearly 1. Options to reduce monthly repayments by setting a final balance of up to 50%. There’s also the fact that processing fees and loan amounts are up to 50% lower on these loans. Second, Chattel mortgages are often more expensive to refinance. This disadvantages MH borrowers, who have lower credit scores than their site-built counterparts. That they be constituted to secure the. Key Features of Chattel Mortgage. A reverse mortgage is a financial product that allows retirees to unlock the value of their family home. By comparison, a lease is a long-term rental agreement, and you normally won’t ever have ownership of. fails to pay). A chattel mortgage is a loan for a prefabricated house or other moveable personal property, such as a car or piece of machinery. A chattel mortgage can enable you to purchase an asset like a car, office. Investing. Once the loan is paid out (including balloon payment), you own the asset. A chattel mortgage is a type of secured loan used to purchase a moveable asset (also known as a chattel) for business use, such as vehicles, work equipment and machinery. This disadvantages MH borrowers, who have lower credit scores than their site-built counterparts. In this case, the property is the vehicle you plan to buy. Payment instalments are a combined. B. A chattel mortgage differs from a regular mortgage in that it is usually more expensive, comes with shorter repayment periods, and the lender typically owns the. Form. A chattel borrowers is a loan used to purchase an item of motionless personal property, such as a vehicle, who then serves as secure for the loan. Not every chattel mortgage will come with a balloon payment, but here's some reason why a business owner would choose to take a balloon payment: Shorter total loan term. Form. A chattel mortgage is a loan used to purchase an item of movable personal property, such as a vehicle, which then serves as collateral for the loan. Reyes and Ordoveza (25 Phil. I. a. Cons: The downsides of a reverse mortgage. g. Pure obligations b. By virtue of Section 3 of the Chattel Mortgage Law, the payment of the obligation automatically rendered the chattel mortgage void or terminated. A chattel security is a loans used at purchase an item of movable personal property, such as a vehicle, which then serves as security forward the loan. If everything is positive, there wouldn’t be such an extensive variety of loan products out in the first place. Many of these disadvantages are largely eliminated by using a contract secured by a deed of trust or a three-. In the chattel mortgage here involved, the only obligation specified in the chattel mortgage contract was the P3,000,000. 2 hereof and the mortgage registration has been duly completed. Before the PPSA, the creation of a valid security interest over personal property under Philippine law is governed by the Civil Code and the Chattel Mortgage Law. There may be instances where the entire loan is funded, eliminating the requirement for a down payment. Chattel mortgages are loans that are used to buy cars and other items, such as commercial equipment. 3. Section 3. 386) (“Civil Code”) on mortgage and pledge (specifically, Articles 2085-2123, 2127, 2140-2141, 2241, 2243 and 2246-2247. For example, they tend to have a shorter-term. MORTGAGE. Sec. Qualifying for a Chattel loan. Mary Flory. a slave. $100,000*. 3. Go digital and save time with signNow, the best solution for electronic signatures. e. 500+ Hours of HD Videos 15 Learning Paths 120+ Courses Verifiable Certificate of CompletionStep 1 : Determine registered home value with a collateral charge mortgage . The lender retains a security interest in the. A chattel mortgage, for example, can be used to finance the purchase of a mobile home in a land-lease community/mobile home parks. Brand-new vehicles under 4. Investing. It involves movable or immovable property. Chattel Mortgage. Sale of Accounts, Contract Rights and Chattel Paper”) of the Uniform Commercial Code (UCC) contains the unified and comprehensive scheme for regulation and controlMoreover, Section 14 of the Chattel Mortgage Law pertaining to the procedure in the foreclosure of chattel mortgages provides, to wit: x x x x. It's much like a fixed rate traditional home loan or mortgage. The term mortgage comes next. Like Myth #1, this myth often comes from conflating some Near Eastern and Egyptian practices of involuntary labor, such as debt slavery, with Greek and Roman chattel slavery. Mortgage: A mortgage is a debt instrument , secured by the collateral of specified real estate property, that the borrower is obliged to pay back with a predetermined set of payments. , a business vehicle. Sec. (Art. A chattel mortgage is a lending utilised to order an item by movable personal property, such as a vehicle, that then serving as security for the loan. Here are some drawbacks to taking out a chattel mortgage: Chattel mortgage lenders typically charge higher interest rates than what you’d receive on a traditional mortgage. A chattel mortgage is a mortgage for financing a tangible movable property such as equipment, a vehicle, or a manufactured home. If you are looking to buy a vehicle used primarily for business (50% or more) a chattel mortgage may be your best option. In this article, we’ll explore exact what jede are these options engaged, as well as their pros plus cons, as you can make an well-informed decision. mortgage to the Mortgagee, its successors, and assigns, the properties subject of this Mortgage described in the schedule attached as Annex “A” hereof, together with all the equipment, accessories, substitutions or attachments which may now or from time to time be used in connections with or attached to the said properties described,13 Non-mortgage Alternatives to Real Estate Financing . A chattel mortgage, finance or operating lease, and commercial hire purchase (CHP) are all forms of equipment finance available to businesses in Australia. the chattel mortgage and the purchaser at the judicial sale takes subject to the lien of the chattel mortgage. Throwing every extra penny you’ve got at your mortgage is an. Describe the current sources of financing for chattel loans in the primary market (e. Explore the types of chattel loans, and review the pros and cons. . ; Capital — Any deposit put toward the purchase of the vehicle. In this article, we will explore the basics of chattel mortgages in Canada, including how they work, the advantages and disadvantages of using this type of financing, and some tips for. A chattel mortgage is a type of loan that can be used to finance the purchase of movable property, such as a business car or boat. Disadvantages of a Chattel Mortgage . Some motorhomes were found to have more than one chattel mortgage listed. pesos for 1st Doc Stamp computation is based on the. B. ) The loan interest on chattel loans may be tax-deductible (although, this does vary) The interest rates on chattel loans are lower than those associated with unsecured loans. What Is a Chattel Mortgage? A chattel mortgage is a loan used to purchase an item of movable personal property, such as a manufactured home or a piece of construction equipment. Investment. Higher overall costs can occur due to higher underlying interest rates and monthly account fees. The lender, usually a bank or finance company, takes ownership of the asset but the customer is its responsible user. The big challenges they noted are. e. involved in the study of chattel mortgages and conditional sales is the theoretical or actual transfer of personal property to create security for a debt. But in this type of financial agreement the item you’ve entered into an agreement for acts as security for the. A chattel mortgage is a loan used to purchase an post of movable personal property, such as a vehicle, which then serves because security for to loan. Once you have the documents prepared, proceed to the Registry of Deeds (RD) where the mortgage was registered. Investor. Investing. Stocks;Mortgage disadvantages. The lender registers a legal interest in the vehicle until the loan is fully repaid. Additionally, here are a range of other factors to consider when comparing chattel mortgages: Interest rates: These can differ between lenders, and the rate of the loan you choose can have a significant impact on your total repayments. Before the PPSA, the creation of a valid security interest over personal property under Philippine law is governed by the Civil Code and the Chattel Mortgage Law. Before you decide to use a chattel mortgage, know that these loans are a bit different than a traditional mortgage. This gives the lender peace of mind you'll pay back the loan. The chattel is your car – the asset the loan is financing. There are many advantages to a chattel mortgage, including flexibility and potential tax deductions. Business use >50%. Our chattel mortgage repayment calculator can help you work out your estimated repayments. , 495) that ". New Cars . Selling or pledging personal property already mortgaged or any part thereof, under the terms of the Chattel Mortgage Law without the consent of the. A chattel mortgage is a type of loan that can be used to finance the purchase of movable property, such as a business car or boat. A chattel mortgage is a type of loan that uses movable property as collateral, such as cars, planes, boats, and farm equipment. Solutions; Calculators; About; Articles; Contact; Solutions; Calculators; About; Articles; Contact; 02 9174 5305;A chattel loan can underwrite the purchase of heavy commercial equipment, including forklifts, tractors, and other similar machinery. Key Takeaways Chattel is a form of movable personal property, like a mobile home or houseboat. A chattel mortgage is a loan used to purchase an item on movable personalstand property, such as a instrument, which then functions as security for the borrow. Some parts of your primary residence are tax-deductible, such as your mortgage interest, Albert says. It really is as simple as that. Skip to content. . Here are some drawbacks to taking out a chattel mortgage: Chattel mortgage lenders typically charge higher interest rates than what you’d receive on a traditional mortgage. And if you pay a regular mortgage, the concept won’t be a new one - it’s just created for commercial vehicle purchases. Individuals offer their vehicles or other movable property as security, and in exchange, the lender provides funds to purchase the same asset. All personal property shall be subject to mortgage,. Note that in accounting, the chattel property also known as, personal. Before researching car finance, one key. To compare, if you. This gives the lender peace of mind you'll pay back the loan. Credit rating — Based on your history of paying back other loans and credit. With a chattel mortgage, you will own the asset from the start of the finance term. While the vehicle or equipment is owned by the business, the lender uses the vehicle as security against the loan. A chattel mortgage is a type of secured loan used to purchase a moveable asset (also known as a chattel) for business use, such as vehicles, work equipment and machinery. Novated Lease. Fees: several fees can apply to your chattel mortgage, including an establishment fee (up to $700), ongoing fees (up to $20) and early repayment fee (up to $600 to $900). It is a personal property loan, sometimes called a “chattel” loan, and it comes with a shorter term and higher interest rate than a mortgage. In some cases, 100% of the loan may be financed – meaning no upfront deposit needs to be put down. Investing. a. A chattel loan may have a. "Chattel" is the general term for tangible personal property that can be moved from one place to another. Chattel mortgage defined. d. A chattel mortgage – also sometimes referred to as an equipment loan – is similar in some ways to a traditional mortgage or home loan. You can claim the GST credit for vehicles and other goods or services used for commercial use. If mortgaged chattels are removed from the county in which the mortgaged property was at the time of the execution of the mortgage or from the county in which the mortgage is filed, without the written consent of the mortgagee,. Floating Charge: A floating charge is a security, such as a mortgage or a lien , that has an underlying asset or group of assets which is subject to change in quantity and value. The property, or chattel, secures the loan, and the lender holds an ownership interest in it. Blacks have a slightly lower birthrate than Whites. You give us the right to receive proceeds of all insuranceA chattel mortgage recording act was necessary, therefore, "not so much to regulate the rights of the parties as to validate the trans-action by removing it from the purview of the Statute of Fraudu-lent Conveyances. Investing. Own the vehicle at the end of the loan term. a personal possession: 2. If the business is unable to make the repayments, this means the lender could repossess the equipment. But in this type of financial agreement the item you’ve entered into an agreement for acts as security for the. a personal possession: 3. Think of a Chattel Mortgage as a type of loan where the object of the borrowing is used as security i. Loan Agreement With Chattel Mortgage. The property itself serves as collateral. A chattel mortgage contrasts from a traditional mortgage in that the lender claims the property until it has been paid off. The term chattel in chattel mortgage refers to the movable property used as collateral or security for the loan. A chattel mortgage is a loan used to purchase certain item about portability private property, such as an vehicle, which then serves as security for the loan. Key Takeaways Chattel is a form of movable personal property, like a mobile home or houseboat. In a conventional mortgage, the loan is secured by a lien on the real stationary property, but a chattel. All personal property shall be subject to mortgage, agreeably to the provisions of this Act, and a mortgage executed in pursuance thereof shall be termed chattel mortgage. The higher the balloon payment, the lower your monthly repayments. Investing. A chattel mortgage finances movable property, like manufactured homes. Knowingly removing personal property mortgaged to any province or city other than the one in which it was located at the time of the execution of the mortgage without the written consent. 3359 Pacific Hwy, Slacks Creek QLD 4127. We want to help you make the most informed choice on mobile home loans, and connect you with the lender that can help your family with the best rates, such as: 21st Mortgage - (Contact them at: 865-801-9026) Union Home Mortage - (Contact them at: 770-883-7127) Tammac - (Contact them at: 817-757-0215) Cascade (Contact them at: 737-931-1275). Skip to content. The business is able to take possession of the property as. Before diving into the advantages and disadvantages of chattel mortgage car loans, it’s essential to understand what they are. Section 1. Debt – By taking out a mortgage, you're taking on a commitment to pay back a lot of money within a certain time period, including interest. 3. This means. It is a conditional sale of personal property as security for payment of a debt or performance of some other obligation specified therein, the condition being that the sale shall be viod upon the seller paying to the purchaser a sum of money or doing some other act named. Chattel Mortgage from an insurance company lawfully licensed to do so or through an agent of your choice. Chattel mortgage schemes typically have lower interest rates than unsecured loans. 13 Non-mortgage Alternatives to Real Estate Financing . Investing. Stocks;AMPERE chattel mortgage is a loan exploited to purchasing to item a movable personal property, suchlike as a instrument, which then serves since security for the advance. 2124. 1508 is a sale with right of repurchase, almost identical to that with similar name of the Civil Code; it was so held by this Honorable Court in Meyers vs. To get more info on what product you think may best serve you. On the downside,. ADENINE chattel mortgage remains a loan utilized to purchase an thing of movable personalization lot, such as a vehicle, which then aids as security for to loan. It is best to have a solid track record to present to the lender. " Sec. A big downside to reverse mortgages is the loss of home equity. If the business is unable to make the repayments, this means the lender could repossess the equipment. What Is a Chattel Mortgage? A chattel mortgage is a loan used to purchase an item of movable personal property, such as a manufactured home or a piece of construction equipment. Pay the documentary. Disadvantages of a Chattel Mortgage. rate instead of a 6% p. Thus, a typical MH borrower would. RULES GOVERNING ISSUANCE OF MORTGAGE/CHATTEL MORTGAGE CERTIFICATE BY THRIFT BANKS (Appendix to Sec. The insurance you carry must be equal to the fair market value of the property. Chattel mortgages are oftentimes used to finance mobile, or manufactured, homes that are arranged on leased land. PURPOSE: To remedy the abuses committed in connection with the foreclosure of chattel mortgages and was meant to prevent mortgagees from seizing the mortgaged property, buying it at foreclosure sale for a low price and then bringing suit against the mortgagor for a deficiency judgment. . 4. 2140, NCC) A chattel mortgage is not a conditional sale (Serra vs. 1508, as amended CHATTEL MORTGAGE. Save & Call 1300 455 155. The property, or chattel, secures the loan, and the lender holds an ownership interest in it. Webster’s. Financing land: Unlike a traditional mortgage, you can’t use a chattel mortgage to buy land. The borrower can lose their property to the lender if they fail to make payments. Top Stores; Bonds; Fixed. 3. In fact, you may qualify for a chattel loan even if your credit score doesn’t pass muster for a conventional mortgage. A chattel mortgage refers to a finance agreement where the money is provided to buy an asset. Borrowers and businesses may use a chattel mortgage to leverage property as. AutoDeal MotoDeal TruckDeal. A chattel mortgage is a formal term that refers to a finance agreement that provides funds to purchase an asset and the finance provider accepts that financed asset as the security for the credit. Additionally, here are a range of other factors to consider when comparing chattel mortgages: Interest rates: These can differ between lenders, and the rate of the loan you choose can have a significant impact on your total repayments. The lender takes out a ‘mortgage’ on the car, which will stay until the. Chattel Mortgage. With a standard mortgage, the lender isn't the owner however has a lien on the property, allowing them to claim it in the event of a default. 1-7 years. A chattel mortgage is a loan used to buying einen item of movable private property, such in ampere vehicle, who then serves as security for the home. 20-23 year terms. Under a mortgage structure, the vehicle serves as collateral for your loan to give the lender more security. Collateral: Traditional mortgages and chattel mortgages are secured by collateral. 2. The short title of this Act shall be "The Chattel Mortgage Law. A chattel mortgage is a loan used to purchase an item of movable personal property, such as a vehicle, which then serves as security for the loan. Waiting several years to get the full amount owed after the sale.