The letter contains important information regarding migrated registrations on the PPSR.
What is the PPSR?
The Personal Property Securities Register (PPSR) is established by the Personal Property Securities Act 2009 (the PPSA), and commenced for the whole of Australia on 30 January 2012. The PPSR is a national register of security interests in personal property (in general, personal property is any form of property that is not land or affixed to land).
A security interest is an interest in personal property that is granted by one party (the Grantor) to secure its promise to repay a debt or perform some other obligation. For example, where a lender (Secured Party) agrees to loan funds to a person or entity to buy a car or business assets, the lender will usually take a security interest in the property being purchased (Collateral) to ensure the loan repayments are made. If the borrower defaults, the lender can enforce against the Collateral. The Secured Party can register its security interest in the Collateral on the PPSR so that other interested parties (such as other potential lenders) can discover its existence.
What are “migrated registrations”?
Before the PPSR commenced on 30 January 2012, approximately 4.8 million security interests in certain types of personal property were recorded on various registers such as the Australian Security and Investments Commission (ASIC) Register of Company Charges, the Australian Register of Ships, the Fisheries Register, state and territory bills of sale registers, and the state and territory registers of encumbered vehicles. A complete list of these “transitional” registers can be found here.
On 30 January 2012 these pre-existing registrations were automatically moved across ("migrated") to the PPSR.
Why did I get a letter?
You have received a letter because the PPSR indicates that you may be a Secured Party holding a security interest in personal property that was created before the PPSR commenced, was registered on a transitional register and migrated to the PPSR in January 2012. We have sent letters to the address details noted on the previous register, as were current as at 30 January 2012.
This letter does not mean that you owe a debt or other obligation, but indicates that you may be a Secured Party holding a security interest over personal property. If that is the case, we suggest you find, claim and review the registration(s).
What could my migrated security interest be and where was it migrated from?
Almost 5 million registrations were migrated from previous Commonwealth, state and territory registers.
Some examples are:
- A fixed or floating charge migrated from the ASIC Register of Company Charges
- Consignment of goods, e.g trading stock
- Secured loan (such as loans for motor vehicles, livestock, ships)
The transitional registers are now closed. However, you may contact them for historical records.
Are there any issues affecting migrated registrations?
The PPSA now provides a single national set of rules governing the creation and registration of security interests in all types of personal property. However because each pre-existing transitional register contained different sets of information (in accordance with the legislation that established the register), many registrations migrated with missing or incomplete fields that are now required by the PPSA. It is important to note that not all these defects will invalidate a registration but some may.
The PPSA provided a grace period of 60 months to allow time to rectify registrations that were migrated without an end date. This period is coming to an end on 31 January 2017 for registrations that were migrated without an end date.
For further details see: End of the final transitional period
I have never used the PPSR, what do I do now?
Important: you are not required to perform a paid search on the PPSR to locate your registrations.
If you think your registration is still needed and you have never used the PPSR before you need to follow the Find and Claim process. This process allows you to locate any charges that were migrated to the PPSR on 30 January 2012.
For details on how to search the Find and Claim catalogue see: Searching the find and claim catalogue
If you need assistance locating your registration(s) you can call our National Service Centre for assistance.
What if the security interest is old, and no longer valid - do I need to take action?
If the secured party is no longer active (e.g. the company has been de-registered) and the security interest is no longer valid, you can call our National Service Centre for assistance.