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DIFFERENCE BETWEEN MORTGAGE VS. HYPOTHECATION
TYPE OF SECURITY
Hypothecation is a charge created over a movable asset. The asset under hypothecation is usually a movable asset like a vehicle, stocks, accounts receivables, small machines etc. A mortgage is a charge created over immovable property which may include land, buildings, factory premise, godown /warehouse, anything that is attached to the earth or something permanently fastened to anything that is attached to the earth. One needs to note