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LSDefine

Simple English definitions for legal terms

hypothecate

Read a random definition: forcible entry

A quick definition of hypothecate:

Term: hypothecate

Definition: Hypothecate means to promise something valuable as a guarantee for a loan, without giving it away. For example, if you borrow money to buy a car, the car can be used as collateral, but you still get to keep and use the car. If you don't pay back the loan, the lender can take the car to pay off the debt. But if the car doesn't cover the full amount owed, you won't be held responsible for the remaining debt.

A more thorough explanation:

Definition: Hypothecate means to pledge something as security for a loan, without actually delivering the item pledged. This creates a right by the creditor to liquidate the property to satisfy the debt in the event of default. If the debt is not paid, the creditor may have the property seized to satisfy the debt. In the event that the collateral does not pay off the debt, the person hypothecating the property is not personally liable.

Example: A car may be collateral for a car loan, although possession remains with the borrower. If the borrower defaults on the loan, the lender can seize the car and sell it to pay off the debt. The borrower is not personally liable for any remaining debt after the sale of the car.

Explanation: Hypothecation is a common practice in lending, where the lender requires collateral to secure the loan. This reduces the risk for the lender, as they have a right to seize and sell the collateral if the borrower defaults on the loan. The example of a car loan illustrates how the car is pledged as collateral, but the borrower still retains possession of the car. If the borrower fails to repay the loan, the lender can seize the car and sell it to recover the debt. The borrower is not personally liable for any remaining debt after the sale of the car.

hyperlink | hypothetical monopolist test

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MIAMI A
[] AromaticTroubledDormouse
20:55
How does one know if they are UR1 or UR2?
[] AromaticTroubledDormouse
20:56
CONGRATS MACAQUE!
TY
got a random stanford email and almost had a heart attack
ALSO CONGRATS!
Congrats1!
21:15
Miami A, yall I'm so excited I could cry.
21:15
Feel like I can finally stop holding my breath!! Whew!!!
[] baddestbunny
22:16
every time I get accosted by a strange man who follows me around because my male coworkers were too busy talking to walk me back to my car I get closer to saying we need to bring back traditional gender roles
Dkk
22:32
Nice! @Macaque
Dkk
22:32
@Aromatic, Have to guess.
Dkk
22:33
That sucks @Bunny do you have to go to the hospital?
[] baddestbunny
22:40
I said accosted not assaulted
23:35
guys. my notre dame address just went long is this good or bad
1a2b3c4d26z
23:37
Oooooo me too
23:37
omg is this good or bad
Dkk
23:47
Idk if gender roles are gunna fix that then.
23:49
it looks like most people who applied in october last cycle didn't get a decision until january... does it even mean anything that our addresses went long??
hows ED 2 compared to ED 1?
Dkk
0:10
No idea
windyMagician
0:34
reporting live to say my ndls address also went long
does it mean anything ^
Dkk
2:21
NDLS and Fordham took a very long time last year. It's good info for people to know.
[] baddestbunny
4:29
let’s get after it boys and girls
Dkk
5:21
I gtg to bed soon.
Dkk
5:22
Big day today. Gunna be a crazy one. I will sleep through the first half.
good morning lsd it is 5 am EST
also jazzy my ndls address went long ages ago i sadly do not think it means anything
my stanford address also went long LOL i think at most it's an indicator it's under review
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