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Secured versus unsecured lending in the asset finance space Lenders will offer lower interest rates when they can take a security interest over the asset. They register this PMSI (Purchase Money Security Interest) in the PPSR (Personal Property Securities Register) meaning that they have claim over that asset if you stop making repayments. In unsecured lending (personal loans for example), there is no asset being securitised and hence it is ‘riskier’ for the lender. Riskier lending is priced acc
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