Pledge means that the debtor or a third party transfers his movable property (or property right) to the creditor for possession, and takes the movable property (or property right) as the guarantee of the creditor's rights.

1. when the debtor fails to perform the debt, the creditor has the right to discount the movable property (or property right) or to be paid in priority with the price of auction or sale of the movable property (or property right). The transferred movable property or property right becomes a "pledge". Small and medium-sized enterprises can easily obtain loans from banks when they can provide pledges to them.

2. Pledged loan refers to a loan issued by the lender with the movable property or rights of the borrower or a third party as collateral according to the pledge method stipulated in the Guarantee Law.

Extended information:

Financing pledge loan procedures:

1. Signing subscription book: The customer signs subscription book with the real estate development company that has signed a contract with the bank and pays the down payment to the real estate development company;

2. Application: The customer goes to the law firm entrusted by the bank to apply for mortgage, including submitting personal data, paying various fees and filling out legal documents;

3. loan review: the law firm conducts a preliminary review of the client's application, and then the bank approves it; If the review is unqualified, return the customer information and the fees charged;

4. other legal procedures: the law firm handles insurance, notarization and mortgage registration and filing of collateral;

5. Loan issuance: The bank transfers the loan amount to the developer's account and informs the customer to start mortgage payment.

Baidu encyclopedia-pledge loan