Explain the main characteristics of a pledge

(b) Characteristic of a pledge;
• There is delivery of possession from the Pawnor to the Pawnee.
• The right of ownership is the goods pledged as a security remains in the pawnor.
• A pledge is redeemable within six months, with seven days of grace olded.
• If the pledge is destroyed by fire, the pawn broker is bound to pay the value of the pledge after deducting the amount of the loan and interest.

Share through

Leave a Reply

Your email address will not be published. Required fields are marked *