What does accounts receivable pledge mean?

Pledge of accounts receivable is a pledge of rights, which refers to a pledge created with property rights other than ownership as the subject matter.

Note: Accounts receivable used for pledge must have the following characteristics.

1) Transferability, that is, the accounts receivable used to establish the pledge must be allowed to be transferred in accordance with the law and the agreement of the parties.

2) Specificity, that is, the relevant elements of the accounts receivable used to establish the pledge, including the amount, term, payment method, name and address of the debtor, the underlying contract that generated the accounts receivable, and the degree of performance of the underlying contract, must be clear, specific and fixed.

3) Timeliness, that is, the accounts receivable claims used to set up the pledge must not have exceeded the statute of limitations. When the statute of limitations has expired, it means that the creditor's claim has been transformed from a legal right into a natural right.

In law, accounts receivable is a creditor's right, and accounts receivable pledge is a pledge of rights. In terms of the types of rights that can be pledged recognized in Article 75 of the Security Law, bills of exchange, cheques, promissory notes, bonds, and certificates of deposit also represent a kind of creditor's rights.

The difference between these claims and ordinary accounts receivable claims is that these claims have been characterized and fixed due to certain written documents as records, and have already taken on the nature of materialization to a certain extent. However, because ordinary accounts receivable claims do not have similar certificates of rights as representations, there are still uncertainties in the publicity of rights, the term and amount of rights, and the method of payment, so there are certain deficiencies in the subject matter of pledges. However, the provision in paragraph 4 of Article 75 of the Security Law on "other rights that may be pledged in accordance with law" leaves room for the legality of the pledge of ordinary accounts receivable claims.

From the perspective of foreign legislation, accounts receivable as an ordinary creditor's right to set up a pledge, but also by the legislation of many countries such as Germany, Switzerland and so on.

Procedures (1) The credit applicant shall provide the bank with the application materials, the business contract to be pledged, and the introduction of the accounts receivable debtor; (2) The bank conducts pre-loan investigation, reviews the qualifications of the credit applicant and the accounts receivable debtor, the legality and compliance of the business contract, and obtains the accounts receivable confirmation letter issued by the accounts receivable debtor; (3) The bank conducts business examination and approval according to the relevant materials; (4) Approve and sign relevant legal texts, handle the pledge registration procedures of accounts receivable, and issue loans. [

Legal analysis: Accounts receivable pledge is a kind of financing subordinate guarantee method, on the basis of accounts receivable pledge guarantee, it can carry out loans, bank acceptance bills, letters of credit, letters of guarantee and other bank financing business.

1) Bills of exchange, promissory notes, checks;

2) Bonds and certificates of deposit;

3) Warehouse receipts and bills of lading;

4) The first share and equity that can be transferred;

5) Property rights in intellectual property rights such as the exclusive right to use registered trademarks, patent rights, and copyrights that can be transferred by bridge;

6) Accounts receivable that are being verified and will be present;

7) Other property rights that laws and administrative regulations provide may be pledged.

The fundamental difference between accounts receivable pledge and factoring is whether the creditor's right is transferred, first of all, the pledge is a legal relationship of subordination from Changchang, and the premise of the establishment of the pledge must be that there is a principal debt that should be repaid by the debtor to the creditor as a guarantee.

In a factoring transaction, the bank pays the transaction consideration to the financing party at a certain rate to purchase the accounts receivable of the financing party, and recovers the transaction consideration paid by the bank by directly collecting the accounts receivable.

Second, after the pledge is established, the creditor cannot enjoy any interest in the pledge by executing the pledge unless the debtor defaults on repaying the principal debt. However, in a factoring transaction, the bank has the right to immediately and directly charge the factoring fee and receive any remuneration under the purchased receivables.

Accounts receivable can be pledged, accounts receivable belongs to the scope of the right that can be pledged by law, with accounts receivable pledged, the pledge right is established when the pledge is registered, and the accounts receivable shall not be transferred after the pledge, unless the pledgor and the pledgee agree through negotiation.

Legal basis] Article 440 of the Civil Code.

1) Bills of exchange, promissory notes, checks;

2) Sooner or later the bond closes, deposit receipts;

3) Warehouse receipts and bills of lading;

4) The first share and equity that can be transferred;

5) Property rights in intellectual property rights such as the exclusive right to use registered trademarks, patent rights, and copyrights that can be transferred;

vi) existing and future accounts receivable;

7) Other property rights that laws and administrative regulations provide may be pledged.

Accounts receivable can be pledged. Pledge refers to the legal act of the debtor or a third party transferring its movable property or rights to the creditor for possession, and using the movable property or rights as security for the creditor's rights. When the debtor fails to perform the debt, the creditor has the right to be repaid in priority with the property in his possession in accordance with the law.

Among them, the debtor or a third party is the pledgee, the creditor is the pledgee, and the transferred movable property or rights are the pledge Article 445 of the Civil Code If the accounts receivable are pledged, the pledge shall be established when the pledge is registered. After the accounts receivable are pledged, they shall not be transferred, except for those agreed upon by the pledgor and the pledgee. The pledgor shall pay off the debts or deposit the debts to the pledgee in advance for the proceeds of the transfer of accounts receivable.

Article 425:Where the debtor or a third party pledges its movable assets to the creditor for the purpose of guaranteeing the performance of the debt, and the debtor fails to perform the debts due or the parties agree to realize the pledge, the creditor shall have the right to be repaid in priority for the movable property. The debtor or third party provided for in the preceding paragraph is the pledgee, the creditor is the pledgee, and the movable property delivered is the pledged property.