When buying goods—searching the register helps you make an informed decision because you can check whether the valuable goods you want to buy are free from existing financed debt and so safe from repossession.
For example, when buying:
- goods from a wholesaler other than for immediate cash (e.g. buying goods on retention of title arrangements or on consignment)
- vehicles (other than from a licensed motor vehicle dealer).
As a buyer, you will ‘take free’ of security interests that your seller has granted over the collateral, if the property is sold to you in the ordinary course of the seller’s business, if the property is the kind they ordinarily sell.