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Danie, a farmer who farms on his uncle’s farm, owns one tractor which he uses e...
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Danie, a farmer who farms on his uncle’s farm, owns one tractor which he uses every day. Danie wants to borrow R400,000 from Yank Bank in order to buy some dairy cows. Yank Bank requires security for the loan in order to ensure that Danie will repay the loan. Danie only has the tractor to offer as security for the loan, but he can’t work on the farm without the tractor.
Which ONE of the following forms of security will be the best way for Danie to secure his obligations under the loan?
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