security given by ltd. co. defaulted what to do
2006-06-25 03:23:01 · 3 answers · asked by priyangi d 1 in Business & Finance ➔ Credit
Learn to type, spell and write sentences in proper English.
2006-06-25 03:26:52 · answer #1 · answered by parshooter 5 · 0⤊ 0⤋
I'm not exactly sure what your question is. Please explain in more detail.
Generally when a secured loan is defaulted, you confiscate the security and sell it and apply that against the loan balance. How you do that depends upon local laws.
When you say "stock" are you referring to shares in the company that borrowed the money, shares in some other companies, or goods held for sale?
If you're talking about stock certificates pledged as security, just take them to the transfer agent and sell them, assuming that they still have some value. You may need to provide copies of the loan documentation and proof of the default.
2006-06-25 11:47:05 · answer #2 · answered by Bostonian In MO 7 · 0⤊ 0⤋
In the US, if a company defaults and the security is deemed worthless, you are out of luck. Do more due diligence next time
2006-06-25 10:42:30 · answer #3 · answered by ps2754 5 · 0⤊ 0⤋