Exam 32: Secured Transactions

Jason is the creditor in a transaction with Carol,who is the debtor.Which of the following requirements is NOT necessary for Jason to have an enforceable security interest?

A financing statement is effective for five years from the date of filing.

A financing statement cannot be the same as the security agreement.

A buyer in the ordinary course of business has priority over any security interest created by the seller.

A buyer in the ordinary course of business cannot know about the existence of a perfected security interest.

The payment of Hu's debt to Ian is guaranteed by Hu's personal prop?erty.To give notice of his interest in Hu's property to other creditors,Ian is most likely to

The method of perfecting a security interest does NOT depend on the classification of the collateral.

The "first-in-time" rule means that an unperfected security interest takes priority over a perfected security interest if the unperfected security interest was attached first.

Sara needs $1,500 to buy textbooks and other school supplies.Tomas agrees to loan Sara $1,500,accepting as collateral Sara's car.They put their agreement in writing and sign it.Sara keeps possession of the car.Does Tomas have an enforceable security interest? How can Tomas let other creditors know of his interest in the car?

A security interest is not enforceable after the creditor's rights have at?tached to the collateral.

A debtor is the person in whose favor there is a security interest.

The payment of Yves's debt to Zac is guaranteed by Yves's personal property.Their agreement identifies Yves's property by serial number.To establish Zac's interest,this is most likely