PPSR key terminology

The Act and PPSR apply to security over personal property – property that is not land or fixtures to land (i.e. real estate and buildings).

Personal property can be owned by a commercial organisation or an individual.

A business can use personal property as collateral (as security for a debt owed to sellers or financiers), and this can include goods leased or hired, or received on consignment.

In such cases, the, seller, owner, lessor, lender, consignor or financier – called the secured party in this guide – has a security interest in the collateral.

A security interest must be registered on the PPSR by the secured party to ensure their interest is secured.

The debtor, buyer or customer who offers the collateral as security is called the grantor under the Act.

The PPSR in a nutshell
The PPSR in a nutshell video

For more information on key concepts see Key concepts explained.