Security Agreement Covering Consumer Goods

{{company_name}}

{{company_address}}

Phone: {{phone}}

Email: {{email}}

Website: {{website}}

SECURITY AGREEMENT

This Security Agreement (the “Agreement”) is made and entered into this {{day}} day of {{month}}, {{year}}, by and between:

**Secured Party:** {{secured_party_name}}, a {{type_of_entity}} duly incorporated/registered in accordance with the laws of {{jurisdiction}}, with its principal place of business at {{secured_party_address}} (hereinafter referred to as “Secured Party”).

**Debtor:** {{debtor_name}}, a {{type_of_entity}} / an individual residing at {{debtor_address}}, with identification number {{debtor_id_number}} (hereinafter referred to as “Debtor”).

1. GRANT OF SECURITY INTEREST

For good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Debtor hereby grants to Secured Party a security interest in the following goods (hereinafter referred to as the “Collateral”):

Description of Collateral: {{collateral_description}}

Serial Number(s): {{serial_numbers}}

Model: {{model}}

Make: {{make}}

Purchase Date: {{purchase_date}}

Purchase Price: {{purchase_price}}

The Collateral is consumer goods as defined under applicable law and is primarily used for personal, family, or household purposes.

2. OBLIGATIONS SECURED

This security interest secures the following obligations (hereinafter referred to as the “Obligations”):

{{description_of_obligations}} (e.g., a loan in the amount of {{loan_amount}} with an interest rate of {{interest_rate}}% per annum, repayable in {{number_of_instalments}} instalments of {{instalment_amount}} commencing on {{first_payment_date}} and ending on {{final_payment_date}}).

3. WARRANTIES AND REPRESENTATIONS OF DEBTOR

Debtor hereby warrants and represents to Secured Party that:

(a) Debtor is the sole owner of the Collateral, free and clear of all liens, encumbrances, and security interests, except for the security interest granted herein.

(b) Debtor has the full power and authority to grant this security interest.

(c) The Collateral is located at {{collateral_location}} and Debtor shall notify Secured Party in writing of any change in location of the Collateral.

(d) The Collateral is and will remain consumer goods intended for personal, family, or household use.

4. COVENANTS OF DEBTOR

Debtor covenants and agrees that:

(a) Debtor will maintain the Collateral in good condition and repair, ordinary wear and tear excepted.

(b) Debtor will not sell, transfer, assign, lease, or otherwise dispose of the Collateral without the prior written consent of Secured Party.

(c) Debtor will keep the Collateral insured against loss or damage in an amount not less than the outstanding balance of the Obligations, with Secured Party named as a loss payee.

(d) Debtor will pay all taxes, assessments, and other charges levied against the Collateral when due.

(e) Debtor will not remove the Collateral from {{authorised_location}} without the prior written consent of the Secured Party.

5. EVENTS OF DEFAULT

The occurrence of any of the following shall constitute an event of default (each, an “Event of Default”) hereunder:

(a) Debtor fails to pay any amount due under the Obligations when due.

(b) Debtor breaches any warranty, representation, or covenant contained in this Agreement.

(c) Any representation or warranty made by Debtor in this Agreement or in any other document delivered in connection herewith proves to have been false or misleading in any material respect when made.

(d) Debtor becomes insolvent, makes an assignment for the benefit of creditors, or a receiver is appointed for Debtor or any of Debtor’s property.

6. REMEDIES OF SECURED PARTY

Upon the occurrence of an Event of Default and at any time thereafter, Secured Party may, at its option, declare all Obligations immediately due and payable without notice or demand to Debtor and may exercise any and all rights and remedies available to a secured party under applicable law, including, but not limited to:

(a) Taking possession of the Collateral wherever located, without judicial process.

(b) Selling the Collateral at public or private sale, with or without notice to Debtor (to the extent permitted by law).

(c) Retaining the Collateral in satisfaction of the Obligations (to the extent permitted by law).

7. GOVERNING LAW AND JURISDICTION

This Agreement shall be governed by and construed in accordance with the laws of {{governing_jurisdiction}}.

Any dispute arising out of or in connection with this Agreement shall be subject to the exclusive jurisdiction of the courts of {{jurisdiction_of_courts}}.

8. ENTIRE AGREEMENT

This Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior agreements, understandings, negotiations, and discussions, whether oral or written.

9. AMENDMENT

No amendment, modification, or waiver of any provision of this Agreement shall be effective unless in writing and signed by both parties.

SIGNED AT {{city}} ON THIS {{day}} DAY OF {{month}}, {{year}}.

**SECURED PARTY:**

_____________________________

Name: {{secured_party_signer_name}}

Title: {{secured_party_signer_title}}

**DEBTOR:**

_____________________________

Name: {{debtor_signer_name}}

Title: {{debtor_signer_title}} / ID Number: {{debtor_signer_id}}