Insolvency & Collections

Secured Creditor

Also called: PPSA, Security Interest, General Security Agreement

A creditor holding a security interest in specific property, giving priority over unsecured creditors.

Varies by jurisdiction. Personal property security legislation is provincial; Quebec uses a different civil-law regime of hypothecs.

Security interests in personal property are registered under provincial personal property security legislation. Registration establishes priority, generally on a first-to-register basis among perfected interests.

Why it matters: if a debtor becomes insolvent, unsecured creditors are paid only after secured claims — often meaning little or nothing is left.

Related terms

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A definition can tell you what a term means. It cannot tell you what to do about your matter — that needs a licensed lawyer who knows the facts.

Legal information, not legal advice. Rules differ by province and change over time. A licensed lawyer must review your matter.

Editorial status: Lawkin Editorial — pending independent legal review.

Secured Creditor — Canadian legal glossary | Lawkin — Lawkin