|
Sl. |
Particulars |
Mortgage |
Pledge |
|
1 |
Property type in Security |
Mortgaged is an immovable property |
Pledged is a movable property |
|
2 |
Property ownership |
The
property is transferred to lender |
The property remains to pledgor |
|
3 |
Property custody |
Possession of property will be with
borrower |
Goods delivered by the pledgor will be in lender |
|
4 |
Legal
authority to
sell property |
Mortgagee can sell only
with the permission of
the Court |
Lender can sell
without the
intervention of
the Court |
|
5 |
Rights to foreclosure |
A mortgagee has the right of foreclosure that restrict the borrower from taking
back the property under certain circumstances |
A pledgee does not have the right of foreclosure that cannot restrict the pledgor from taking
back the property |